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DraftKings To bail Out FantasyHub Players
Friday March 11,21016 : DRAFTKINGS PLAYS THE WHITE KNIGHT IN FANTASYHUB DEBACLE (Update)
Not an acquisition, says DFS giant...but it's inviting players to migrate.
DraftKings spokemen are adamant that the company's "white knight" initiative to look after owed players in the FantasyHub debacle is not an acquisition exercise...but the DFS giant nevertheless is inviting rescued players to switch to its offering.
On Thursday DraftKings stepped in with its rescue offer to FantasyHub players stranded by the reportedly failing company's decision to shut down.
Unconfirmed reports are that the rescue operation will cost DraftKings several hundred thousand dollars, and includes a payment to charities of $100,000 pledged by FantasyHub but not honoured.
In return for its largesse, DraftKings stands to gain players from its invitation to FantasyHub punters to join the DraftKings site.
The DraftKings offer is generous, allowing FantasyHub players to withdraw their funds without penalty or migrate them to new or existing accounts at DraftKings
FantasyHub has been conspicuous by its silence on the reasons for the failure, as has sector trade body Fantasy Sports Trade Association, which claims it has a requirement that its member companies segregate player funds from operational monies.
DraftKings is playing this issue as a genuine desire to help stranded players out, and not an acquisition per se; the DFS giant says there is an eighty percent overlap of the two companies' player bases, making migration easier.
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