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FanDuel finds itself in hot water on Capitol Hill after a trio of senators demanded the sportsbook provide information on the personalized videos it is sending to ‘VIP bettors,’ one of whom has lost $1.5 million on the platform.
Democratic Senator Richard Blumenthal, along with U.S. Representatives Paul Tonko and Valerie Foushee, is seeking answers from FanDuel about its customer outreach efforts, including its use of personalized celebrity messaging. The trio alleges that one of the video recipients includes a bettor who received a personalized video greeting from Phillies first baseman Bryce Harper.
This is the second such letter that FanDuel has received from the group of lawmakers has sent to the online sports betting giant, looking for information on what they deem targeted and predatory outreach.
The first letter, sent on September 3, included responses the lawmakers felt were inadequate. As federal oversight intensifies around digital wagering, lawmakers are scrutinizing how major operators market products across sportsbooks, daily fantasy sports, and broader digital online casino or interactive entertainment verticals.
Lawmakers request full copies of videos
The recent letter sent to FanDuel included a list of requests, the top of which includes copies of all of the personalized videos that FanDuel has sent to its VIP bettors.
Along with that demand, the letter is asking for the circumstances that triggered the videos to be sent and the win-loss figures of each recipient, whether the video recipient ever requested an account suspension or pause, and the reason that person was chosen to receive the personalized celebrity message.
At its core, Blumenthal, Tonko, and Foushee are trying to identify areas where FanDuel is conducting outreach toward problem gamblers or encouraging future wagers, which is why the $1.5 million figure was at the core of the second letter.
The letter included the following language, highlighting that component:
“While FanDuel claimed it ‘has not used personalized videos or messages to induce customers to continue gambling,’ that statement is clearly contradicted by the fact that the video of Mr. Harper that gave rise to these concerns was sent to an individual that had lost $1.5 million on bets on your platform.”
