Louisiana legalized daily fantasy sports (DFS) back in 2018 but the DFS industry is still not up and running. There were a number of reasons for the delay but DFS players in the state will be happy to know that the gaming regulator has finally started to accept DFS license applications from interested parties.
The Louisiana Gaming Control Board (LGCB) which is the gaming regulator in the state started accepting DFS license applications from 19 February. LCGC said that the license review and approval process should take between 60 to 90 days.
One of the reasons for the delay in the launch of DFS games was because the LGCB took its time to finalize gaming regulations that will govern the DFS industry.
The gambling regulator only recently published the final set of regulations that will govern DFS prizes. Interested parties are expected to send in their DFS license applications by mail.
As of now, LCGC said they were yet to receive any applications. We will have to wait a couple of weeks and see how many applications come in to gauge the level of interest from DFS operators in the Louisiana market.
Multiple Barriers To Operate In Louisiana
DFS was legalized in Louisiana since it received a majority vote but as many as 17 parishes choose to vote against legalizing DFS games. As a result, licensed DFS operators in Louisiana will need to ensure that they block their DFS offerings from residents who are located in these 17 parishes.
Casino and sports betting operators usually end up using geo-location services to prevent bettors located in neighbouring states from accessing their site. DFS operators in Louisiana will have to rely on the same geo-location services but this time use it to draw invisible barriers between these 17 different parishes and ensure that no players in these parishes get access to DFS games.
DFS operators who apply for a gaming license will have to prove to the LGCB that they have the necessary technology to impose geo-fencing. The LGCB will require operators to go to a state sponsored gaming lab and demonstrate their technology successfully before a DFS license is granted to them.
Only individuals over the age of 21 will be allowed to access DFS games. Louisiana will collect an 8 percent tax on net DFS revenues and use these funds to boost childhood education in the state.