Over/Under DFS Betting Banned in New York, Fanatics Approved, DraftKings Rebuked

The New York Gaming Commission (NYGC) is enacting legislation that bans over/under betting on daily fantasy platforms such as PrizePicks and Underdog.

New York is the fourth state to ban such styles of wagering, which have grown exponentially over recent years. Though the over/under type of betting is not technically sports betting, it is considered as such by the NYGC and is difficult to regulate without the proper classification. 

Proponents of daily over/under betting were allowed to provide comments until late September. The NYGC received several letters in support of the now-banned style of wagering but did not adhere to their pleas.

PrizePicks, Underdog, Betr, and other platforms of this mold simplify sports betting down to a series of proposition bets with the only possible outcomes as “More” or “Less.”

The more entries on a bet slip and the more correct legs there are increase the profit multiplier for the bet. PrizePicks, the most popular platform of the three, offers up to 25x payouts for their flex plays.

An example bet slip for a weekend of NFL betting may look like:

• Patrick Mahomes More than 1.5 passing touchdowns
• Justin Jefferson More than 94.5 receiving yards
• Josh Allen Less than 0.5 rushing touchdowns
• Lamar Jackson More than 55.5 rushing yards
• Tyreek Hill Less than 0.5 rushing+receiving touchdowns

Limiting betting options to two outcomes, “More” or “Less” makes it easy for newer sports bettors to submit their bets. Even experienced veterans can fill out their bet slips in very little time.

The Coalition for Fantasy Sports voiced its support for pick’em DFS games and said that bettors control the picks they choose “More” or “Less” in, which makes it a game of skill. It was not enough to sway the NYGC.

“These would include statutory standards as well as a requirement that contests shall not be based on proposition betting and shall not have the effect of mimicking proposition betting,” says New York’s new rules for DFS. “Contests in which a contestant chooses whether an individual athlete or a single team will surpass an identified statistical achievement would be prohibited.”

The decision comes shortly after Florida sent cease and desist letters to PrizePicks, Underdog, and Betr amid its legal sports betting court saga.

In other sports betting news, New York unanimously approved Fanatics Sportsbook for launch during a Tuesday meeting.

Fanatics did not provide a definitive date on when PointsBet would transfer the assets it sold to Fanatics for $225 million but said that it is excited to launch in the Big Apple.

“Today, the New York State Gaming Commission approved Fanatics Betting and Gaming’s acquisition of PointsBet New York LLC,” read a company statement. “We would like to thank the commissioners and staff of the New York State Gaming Commission for their time and effort in delivering us some great news today. We look forward to working with the staff of the New York State Gaming Commission to bring the Fanatics Sportsbook to the largest sports wagering state in the U.S.” 

Fanatics attempted to enter the New York market two years ago but did not receive approval for licensure. It still needed approval to offer its services after it purchased PointsBet’s assets, which were operational in New York, but it is now past that stumbling block.

NYGC chairman Brian O’Dwyer also chastised DraftKings for publishing a “Never Forget” parlay on the anniversary of the September 11 terrorist attacks that included three legs of New York-based teams’ moneylines.

The parlay was available briefly before DraftKings pulled it from its site.

“All of us were appalled by the promotion, and our staff issued a statement calling it reprehensible,” O’Dwyer said. “In response I had the staff write to DraftKings to ask for assurances that this type of behavior would not be repeated. Of course, good taste cannot be legislated or regulated, but I was concerned that there was not a valid filtering process in place.”

O’Dwyer will be meeting with the president of DraftKings on Friday to ensure these types of promotions will not go public again.