Will Dissension In The Ranks Affect Online Gambling?
Added: Oct. 19, 2015
Actually this could turn out to be an extremely relevant question. At least if you pay attention to those talking heads spouting off on major media channels. You may not have seen the news or if you did see it you may have been left wondering exactly what the real story behind the story really is.
So this all came about when it was revealed that there was a bit of not so good behavior going on behind the scenes at the number one top fantasy sports betting site. Yes, this all happened over at DraftKings. The very same DraftKings that has in no uncertain terms taken the lead in the world of online fantasy sports betting.
But, and do understand that this could be a very big but, it turns out that some rogue employees were taking advantage of their positions within the company. You see, because these employees had behind the scene access to crucial information ahead of time it is no wonder they were tempted to take advantage. Take advantage as in placing daily fantasy sports bets and then walking away with some fairly substantial wins.
Does that sound right to you? Of course not! In fact, if this sort of thing happened over on Wall Street there would be an outcry. An outcry that would most certainly trigger criminal investigations and possible jail time. As you probably already know, in the world of finance and investing this sort of thing is called ‘insider trading’. You probably know also that insider trading is taken very seriously by both financial services company as well as federal and state regulatory authorities.
So back to the rogue employees at DraftKings. Does this not suspiciously similar to the insider trading just described? The answer is an emphatic Yes.
So what does that mean? For one thing if this situation isn’t dealt with immediately and forcefully this could turn out to be what amounts to an atomic bomb for the daily fantasy sports betting companies.
Worse still, if this isn’t dealt with severely, the repercussions could extend well beyond DraftKings and other fantasy and regular sports betting sites. Never lose sight of the fact that there must always be at some level of trust on the part of consumers.
When consumers no longer believe they can trust the online gambling or online sports betting companies, that will be the end of it. Game Over, in other words. Hopefully upper management at DraftKings will understand the seriousness of this situation and deal with it accordingly.