At least one major online payment processing firm has decided it will no longer handle transactions for daily fantasy sports firms operating in New York.
As first reported by Chris Grove (@OPReport), online payment services firm Vantiv has sent an email to DFS operators requiring them to “immediately stop accepting players from New York.” Other processors are reportedly considering similar options.
Vantiv’s missive followed Tuesday’s announcement by New York Attorney General Eric Schneiderman that DFS was an illegal gambling activity in the state. Schneiderman has issued cease & desist orders to DFS operators DraftKings and FanDuel, giving them five days to stop dealing with the state’s estimated 500k DFS players.
FanDuel CEO Nigel Eccles (pictured) held a press call on Wednesday during which he was asked about communications from payment processors. Eccles dodged the question, saying his company was “comfortable with our relationships” with its processors and was “exploring every option that we can to continue offering” real-money play to its New York players.