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Michigan's aggressive stance against unlicensed sports betting and online gambling apps operating in the state has ensured Sleeper Fantasy Sports will not be available in the Great Lake State.
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Last week Massachusetts based Golden Hearts Games, Inc was forced to shut down in the state after the Attorney General threatened to sue.
“Unlicensed gaming robs our schools and our government of essential funding and leaves consumers unprotected,” Michigan Attorney General Dana Nessel said in a statement. “When companies like Golden Hearts attempt to circumvent Michigan’s gaming laws, they create the false impression that their games are legal and safe for consumers. My office is committed to ensuring that our gaming laws are strictly enforced and those who violate those laws are held accountable.”
The Michigan stance has resulted in most of the Daily Fantasy Sports apps opting not to do business there. This includes Sleeper Fantasy Sports. It's significant as Sleeper is now the 4th most downloaded sports betting/fantasy app in the US only after DraftKings, FanDuel and PrizePicks. Average daily downloads for the month of September for Sleeper were 10.1K.
Daily Fantasy Sports sites are not paying a licensing fee or the same tax rate as sportsbooks. This has led the top two in the sports betting space - FanDuel and DraftKings - complaining to regulators.
Michigan has proposed a ban on the prop-style Daily Fantasy Sports games offered by apps like Sleeper Fantasy.
The outward ban would require approval from the state legislature before taking effect but state lawmakers approved a rule change that now requires DFS sites to pay a licensing fee.
Underdog and Yahoo! both pulled out. PrizePicks remains active in the state.
It should also be noted that another social casino not licensed in Michigan, Chumba Casino, continues to operate there.
- Aaron Goldstein, Gambling911.com
