Seth Harris, named late yesterday as the head of the newly formed Fantasy Sports Control Agency, said the new effort at self-regulation by the fantasy sports industry was not merely a public relations ploy. “If this was just a PR stunt, I wouldn’t be involved,” said Harris, the former acting U.S. Secretary of Labor who currently is with public policy group Dentons. “We have recognized the game has changed fundamentally. This is now a business with billions of dollars, tens of millions of players, and lots of high-profile partners. And there is a need to take on issues of ethics and responsibility, and I’m absolutely in this for the long haul.” The Fantasy Sports Trade Association, which has a long relationship with Dentons, announced the FSCA and Harris’ appointment following a recent spate of governmental inquires and lawsuits surrounding daily fantasy sports. The FSCA will seek to create a series of industry standards, control mechanisms and enforcement measures, and if successful, will lead the public sector to ease its current stance toward the fantasy sports business. “My hope is that government will look instead to invest in problems where there is a real need for involvement as opposed to an industry that is looking to self-regulate,” Harris said. The Financial Industry Regulatory Authority (FINRA), a private self-regulatory body for brokerage firms and exchange markets, represents something of a parallel to the aims of the FSCA. But Harris said he was not yet certain how similar the new fantasy sports group will be to FINRA in form and function.
DETAILS STILL NEED TO BE WORKED OUT: Harris will continue to work out of his DC-based Dentons office, and matters of staffing and a timetable for the completion of a set of industry standards have not yet been established. The FSTA has a major January conference approaching and many player drafts for fantasy baseball will commence soon thereafter. However, Harris said, “I’m not going to be driven by any external deadlines. It’s going to be a very inclusive process. But there are still a number of variables.” DraftKings co-Founder & CEO Jason Robins in a statement pledged to cooperate fully with the FSCA. “We recognize our responsibility to the millions of fans who are captivated by the excitement and interactive nature of daily fantasy sports, and ensuring a level and fair playing field is a fundamental tenet of our company,” Robins said.
