What kind of company is DraftKings?
DraftKings Inc. is an American gambling company based in Boston, Massachusetts, offering both a sportsbook and daily fantasy sports contests. As of December 2025, it operates legally in 26 states.
Questions about DraftKings
Short answers, pulled from the story.
When was DraftKings founded and by whom?
DraftKings was founded in 2012 by Jason Robins, Matthew Kalish, and Paul Liberman, three former Vistaprint employees who initially ran the company out of Liberman's house. Its first product was a one-on-one baseball competition timed to Major League Baseball's 2012 opening day.
How did DraftKings become a publicly traded company?
DraftKings went public in April 2020 through a reverse merger valued at $3.3 billion involving Diamond Eagle Acquisition Corp, a special purpose acquisition company, and SBTech Global Ltd, a Europe based sports betting technology provider. Its shares began trading on the Nasdaq under the ticker DKNG on the 24th of April 2020.
Why did the FTC try to block the DraftKings and FanDuel merger?
The Federal Trade Commission sought a preliminary injunction on the 19th of June 2017 because the proposed merger would have given the combined company 90% of the US daily fantasy sports market, a monopoly position. The companies called off the merger on the 13th of July 2017 due to the threat of litigation.
What was the DraftKings data leak scandal in 2015?
On the 5th of October 2015, The New York Times reported that a DraftKings employee had accidentally released data before that week's NFL games, and that the same employee had won $350,000 on rival site FanDuel that week. An internal review concluded the employee could not have gained an unfair advantage, but the incident still led ESPN to pull sponsored segments and New York's attorney general to open an inquiry.
What lawsuits has DraftKings faced over problem gambling?
In December 2024, the spouse and children of a gambler sued DraftKings, alleging the company encouraged his addiction and that he lost more than $900,000. In April 2025 the city of Baltimore, and in May 2025 a Pennsylvania class action, separately accused DraftKings of targeting and exploiting vulnerable gamblers.