PrizePicks scored an interactive fantasy sports licence from the New York State Gaming Commission yesterday. The Atlanta-based operator becomes the 16th jurisdiction to formally approve its contests as games of skill under fantasy sports laws.
This marks a comeback for PrizePicks in New York. The company needed a legal settlement with the NYSGC last year before regulators would consider the new license application.
CEO Mike Ybarra called New York home to “some of the most passionate sports fans in the country.” He said players will be “excited to have PrizePicks back” and promised a “great entertainment experience.”
Why New York Changed Its Position
The NYSGC expanded its fantasy sports requirements back in 2023. Those stricter standards created a path for operators willing to redesign their products.
PrizePicks “worked closely” with state gaming regulators to make sure its peer-to-peer contests fit New York’s requirements. That collaboration proved essential after the 2024 settlement.
Chief Legal Officer Jason Barclay thanked the commission for recognising the peer-to-peer offering as fantasy sports. The company “worked diligently” to meet what he called the commission’s “rigorous standards.”
What Changed in PrizePicks’ Product
The operator will launch its Arena model in New York within “coming weeks.” PrizePicks first unveiled this peer-to-peer format on August 22.
Arena lets users compete directly against other players instead of the operator. That’s a big shift from traditional pick’em games where players bet against the house.
This structural change addresses regulatory concerns about how fantasy sports contests should work. The peer-to-peer setup removes the operator from one side of each contest.
PrizePicks is also rolling out a new marketing campaign. The company will air commercials starring Allen Iverson, Candace Parker, Drew ‘Druski’ Desbordes and Sam Richardson as part of its “It’s Good to Be Right” series.
How This Opens the Market
Barclay’s comments suggest New York’s decision could influence other states. He said it “underscores the idea that innovation in fantasy sports can thrive within a clear regulatory framework.”
Other fantasy operators might follow PrizePicks’ peer-to-peer approach to satisfy regulators. The Arena model offers a template for navigating strict state requirements.
But the path wasn’t easy. PrizePicks spent over a year working through the settlement and redesign process. That timeline shows how carefully regulators examine fantasy sports products in major markets.
New York’s massive sports fan base makes this license valuable for PrizePicks. The state’s approval also adds credibility as the company expands to additional jurisdictions.
