What's new
Fantasy Football - Footballguys Forums

Welcome to Our Forums. Once you've registered and logged in, you're primed to talk football, among other topics, with the sharpest and most experienced fantasy players on the internet.

DFS Scandals BEGIN - "INSIDER "TRADING" " (1 Viewer)

A major scandal is erupting in the multibillion dollar industry of fantasy sports, the online and unregulated business in which players assemble their fantasy teams with real athletes. On Monday, the two major fantasy companies were forced to release statements defending their businesses’ integrity after what amounted to allegations of insider trading, that employees were placing bets on information not available to the public.

Last week, a DraftKings employee admitted to inadvertently releasing data before the start of the third week of N.F.L. games, a move akin to insider trading in the stock market. The employee – a midlevel content manager — won $350,000 at rival site FanDuel that same week.

Eilers Research, which studies the industry, estimates that daily games will generate around $2.6 billion in entry fees this year and grow 41 percent annually, reaching $14.4 billion in 2020. So high are the potential financial rewards that DraftKings and FanDuel have found eager partners in N.F.L. teams, even as the league remains a staunch opponent of sports betting.
Click to expand...
http://www.nytimes.com/2015/10/06/sports/fanduel-draftkings-fantasy-employees-bet-rivals.html?hp&action=click&pgtype=Homepage&module=second-column-region&region=top-news&WT.nav=top-news

 
I was just assuming a "friend" played for them and got a cut of the winnings. Whole thing is rigged worse than Vegas.

 
Last edited by a moderator:
Yeah how in the world can the sites keep this from happening? I can easily see the employees from one site raking it on the other and not being able to be discovered. I don't even know if that's "insider trading".

 
Zow said:
Yeah how in the world can the sites keep this from happening? I can easily see the employees from one site raking it on the other and not being able to be discovered. I don't even know if that's "insider trading".
Click to expand...
As we are discussing in the dfs forum... have percentage owned available to all.... sure, takes away the advantage of those that spend hours figuring it out, but stops this "insider trading" aspect. :shrug:
 
Last edited by a moderator:
% owned is only half the story though - if they have access to individual sharps' lineups that is arguably a bigger advantage.

 
Deadspin article

NYT Article

On Monday, the two major fantasy companies were forced to release statements defending their businesses’ integrity after what amounted to allegations of insider trading, that employees were placing bets using information not available to the public.
Click to expand...
The DK employee won $350k at Fan Duel. Very fishy.

 
Fishy is putting it mildly. I just play low stakes - maybe $5-$10 a weekend to make things interesting, but I'm thinking of cashing out after this. I've noticed a lot of "different" teams posting the exact same lineup lately too which makes me think multiple accounts (which are prohibited) isn't being monitored at all. Not just the same players, but the exact same position in the lineup like James Jones as WR1, Julio Jones as WR2, and Calvin Johnson as WR3. What are the odds of 7 teams having those three WRs in that exact same order of a 100 team 50/50?

It blows my mind that these companies aren't more careful. They got the world by the balls right now and are gonna blow it over something stupid.

 
elbowrm said:
they have access to individual sharps' lineups that is arguably a bigger advantage.
Click to expand...
This is likely what really happened.

What was that statistic about 10% of people winning 90% of the money or something. You just have to play these guys lineups.

 
bigmarc27 said:
Fishy is putting it mildly. I just play low stakes - maybe $5-$10 a weekend to make things interesting, but I'm thinking of cashing out after this. I've noticed a lot of "different" teams posting the exact same lineup lately too which makes me think multiple accounts (which are prohibited) isn't being monitored at all. Not just the same players, but the exact same position in the lineup like James Jones as WR1, Julio Jones as WR2, and Calvin Johnson as WR3. What are the odds of 7 teams having those three WRs in that exact same order of a 100 team 50/50?

It blows my mind that these companies aren't more careful. They got the world by the balls right now and are gonna blow it over something stupid.
Click to expand...
What is their incentive to do so, outside of regulation that doesn't exist? They have a 100% chance of collecting the rake on your game looking the other way.

 
mquinnjr said:
bigmarc27 said:
Fishy is putting it mildly. I just play low stakes - maybe $5-$10 a weekend to make things interesting, but I'm thinking of cashing out after this. I've noticed a lot of "different" teams posting the exact same lineup lately too which makes me think multiple accounts (which are prohibited) isn't being monitored at all. Not just the same players, but the exact same position in the lineup like James Jones as WR1, Julio Jones as WR2, and Calvin Johnson as WR3. What are the odds of 7 teams having those three WRs in that exact same order of a 100 team 50/50?

It blows my mind that these companies aren't more careful. They got the world by the balls right now and are gonna blow it over something stupid.
Click to expand...
What is their incentive to do so, outside of regulation that doesn't exist? They have a 100% chance of collecting the rake on your game looking the other way.
Click to expand...
Mainly my last sentence. If either of them have a huge scandal, the other will be swimming in money Scrooge McDuck style. If they keep their games honest and their customers happy, there's no ceiling to this right now. Once sports gambling goes legal, they also have a built in base of customers with $ already deposited. It'll be massive.

 
bigmarc27 said:
Fishy is putting it mildly. I just play low stakes - maybe $5-$10 a weekend to make things interesting, but I'm thinking of cashing out after this. I've noticed a lot of "different" teams posting the exact same lineup lately too which makes me think multiple accounts (which are prohibited) isn't being monitored at all. Not just the same players, but the exact same position in the lineup like James Jones as WR1, Julio Jones as WR2, and Calvin Johnson as WR3. What are the odds of 7 teams having those three WRs in that exact same order of a 100 team 50/50?

It blows my mind that these companies aren't more careful. They got the world by the balls right now and are gonna blow it over something stupid.
Click to expand...
Nobody is paying attention. I imagine it's like Wolf of Wall Street -- all these dudes are in their office doing blow off of fake tittiies.
 
Last edited by a moderator:
I'm really glad they overturned UIGEA so internet gambling is ok again. Can't wait to get going on Pokerstars again......wait

 
If I've learned anything, it's to not trust people who wear their hats backwards for staff photos. *ahem* RaiderNation *ahem*

 
Johnnymac said:
I'm really glad they overturned UIGEA so internet gambling is ok again. Can't wait to get going on Pokerstars again......wait
Click to expand...
As I posted in the DFS forum.. DFS sites found a Loophole in the "Fantasy Sports" Law.. With this getting coverage on shows like Good Morning America that "loophole" might get closed after this year.

Just hoping it doesn't take down the "Regular" Fantasy games.. :oldunsure:

 
Last edited by a moderator:
Here's a Bloomberg article from earlier this month where the Top-Ranked Daily Fantasy Sports Player says he intentially tries to find players who won't show up on a lot of other rosters since there is an advantage in it:

He also has a technique for identifying athletes who aren’t going to end up on a lot of other team’s rosters, which is important, because there’s a particular advantage in choosing players no one else has noticed.
Click to expand...
I'm just shocked it took this long for something like this to come out.

http://www.bloomberg.com/news/articles/2015-09-10/you-aren-t-good-enough-to-win-money-playing-daily-fantasy-football

 
Sammy3469 said:
Here's a Bloomberg article from earlier this month where the Top-Ranked Daily Fantasy Sports Player says he intentially tries to find players who won't show up on a lot of other rosters since there is an advantage in it:

He also has a technique for identifying athletes who aren’t going to end up on a lot of other team’s rosters, which is important, because there’s a particular advantage in choosing players no one else has noticed.
Click to expand...
I'm just shocked it took this long for something like this to come out.

http://www.bloomberg.com/news/articles/2015-09-10/you-aren-t-good-enough-to-win-money-playing-daily-fantasy-football
Click to expand...
:shrug: Yea, Footballguys does that every week in their articles.... Educated guessing on who is and who is not being rostered is a legit way to win.. Nothing wrong with trying to figure out the contrarian play.

What alleged to have happened here is he took percentage owned from one site that he had access to data, and used it on another site to win big. thus having an advantage over those that take an educated guess..

 
PSA: If there is something big going on with DFS I don't think you need to post it in the DFS forum.

That is probably intended to be more like the assistant coach forum.

 
Question - in a couple of places I have seen people minimize the usage of the ownership stats by saying that they are publicly available on FD for people entered in the thurs. game contests - that ised to be true but is no longer the case, correct?

 
I'd bet DFS sites don't last to see another NFL season. The owners probably have a ton of cash stored away, so they'll be good. DFS big fish will have to find some other way to make their living gambling. I hear horse racing could use the action.

 
You must log in or register to reply here.

Similar threads

Good Posting Judge
David Carr passed away. RIP.
Replies
19
Views
1K
Tom Servo
Tom Servo
RUSF18
St Louis Cardinals under FBI Investigation for Hacking
2 3
Replies
110
Views
3K
Bruce Dickinson
B
(HULK)
Dave Berry's Year in Review
Replies
2
Views
777
Joe Summer
J

Users who are viewing this thread

Total: 2 (members: 0, guests: 2)
Top