Regulation

DraftKings West Virginia app launch postponed

Operator is working with the state’s lottery commission to bring part of its servers into West Virginia, as is required by the Wire Act

DraftKings’ betting app launch in West Virginia has been delayed because one of its servers is located in New Jersey and does not comply with the Wire Act requirement to host servers locally.

The West Virginia Lottery Commission reported that testing of the app in the state had been successful, but the physical location of the server had both the lottery and companies involved “moving forward cautiously”.

Lottery director John Myers said: “The construction of the network and the mobile app involves many parties and can affect the operations of other jurisdictions.

“The Lottery wants to see a successful launch as soon as possible, but we must make sure that the citizens of West Virginia and our employees are not put at risk,” Myers added.

He said the commission was working with the parties involved to build the system locally, but expected the process to take time, with DraftKings potentially not launching until football season.

DraftKings and its local online betting partner, Hollywood Casino Sportsbook, were originally expected to go live last week.

The Wire Act dictates that bets cannot be transmitted across state lines. Similarly, some states require firms to have certain operations housed locally, including customer services and marketing.

DraftKings | Regulation | Sports betting | West Virginia

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