Earlier this year, Ohio passed a legislature prohibiting collegiate player prop wagering. Regulators across the state were serious when they said there would be no more player props to wager on. On Wednesday, the Ohio Casino Control Commission met. They approved a settlement agreement with DraftKings that included a $425,000 fine.
That massive penalty was due to two compliance violations by DraftKings in Ohio. As of March 1, 2024, Ohio prohibited accepting wagers on collegiate player props. However, DraftKings was caught taking wagers on college player props after that date, The second reason for the compliance violations was when they permitted an unapproved funding source for sports wagering accounts.
How was DraftKings caught in the first place?
DraftKings is one of the largest online sportsbooks in the U.S., and it controls a large portion of the market. Recently, it met with the Ohio Casino Control Commission and cooperated by signing the settlement agreement. The settlement was then unanimously approved on Wednesday. This agreement states that DraftKings accepted wagers on collegiate player props between March 14 and 19 2024.
In the same month that the state first prohibited accepting wagers on collegiate player props. On top of that, DraftKings allowed accounts to be funded using cash deposits at “non-gaming retail locations.” From January 1, 2023, to March 5, 2024, there were 40, 985 deposits made on player props that totaled $2,545,927. Ohio does allow residents to fund their accounts with cash deposits but only at approved cashiering kiosks.
Ohio is trying to break the trend
The settlement DraftKings recently agreed to is one of several that the Ohio Casino Control Commission has levied against. Legal sports betting was first launched on January 1, 2023. Numerous bookmakers have been fined by Ohio and DraftKings is one of them. Ohio shocked the market earlier this year when they prohibited wagers on collegiate player props.
Louisiana, Maryland, and Vermont all followed and do not accept wagers on collegiate player props. New Jersey is another state that is still considering making the change. While four states have prohibited these types of wagers, there are still 20 other markets where collegiate player props can be bet on.
