DraftKings is increasing political spending to oppose stricter sports betting regulations. The Boston-based company and its executives are donating to key state lawmakers. DraftKings funded a new super PAC with nearly $20 million to target statehouse races nationwide.
The lobbying surge follows proposed tax hikes and federal scrutiny of prediction markets. A Massachusetts bill seeks to more than double the tax rate on sportsbook revenues. The proposed legislation would also restrict specific bet types.
These measures threaten the company’s home-state operating model. Analysts suggest the Massachusetts bill could set a regulatory precedent for other jurisdictions.