Sportsbook VIP Promotions Face Wider Congressional Scrutiny

U.S. Senator Richard Blumenthal plans to inquire into VIP promotions and practices of DraftKings, Kalshi, and Polymarket prediction markets. Along with Representatives Paul Tonko and Valerie Foushee, Blumenthal aims to understand how sportsbooks engage high-volume bettors. FanDuel, specifically, has been criticized for not adequately answering questions regarding its VIP bettor program, Front Office Sports reported.

Blumenthal, Tonko, and Foushee wrote a letter expressing dissatisfaction with FanDuel's response. Specifically, they want to know which other athletes and celebrities were featured in personalized videos sent to VIP bettors and the safeguards in place to prevent encouraging individuals with gambling problems to continue betting. Blumenthal aims to pose similar questions to DraftKings and ask about prediction-market platforms as well.

FanDuel emphasized its commitment to responsible gaming and customer protection in its September 24 response, stating it would continue investing in technology and education to protect customers. The company said it sent roughly 30 personalized videos featuring athletes and entertainers over the previous two years, but did not provide additional details.

The controversy began when former Major League Baseball star Bryce Harper received a personalized video from FanDuel as part of its VIP program. Blumenthal has been engaged in an ongoing correspondence with FanDuel since the summer, and the letter sent on October 6 highlighted the company's failure to address their concerns. As of now, DraftKings has not responded to requests for comment.