Mr Miggle

October 6th, 2015 at 6:01 PM ^

They don't know anything about betting that isn't readily available to the general public. These employees are using inside information that's not known to other bettors to increase their odds of winning. Those less informed bettors are their competition, not the house. 

The closest casino analogy would be in the sports books, but any financial market is more susceptible to trading on inside information. They're highly regulated with serious criminal and civil penalties in place.

mgokev

October 6th, 2015 at 5:01 PM ^

Question is: If I'm a lowly employee in my office and see a lot of turmoil and turnover and bad financial rumors flying, and I'm told I won't get full bonus this year, can I sell off my stock before a bad public earnings release? Yes. Does it make it insider trading? No, I'm not high up enough to where anyone would believe it or prosecute me for it. It's a gray area that screams fraud but you can't combat it in real life.



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MileHighWolverine

October 6th, 2015 at 5:42 PM ^

Employees, at any level, are usually banned from trading their own company stock unless it's done within a strict timeframe. Doesn't stop people from trying to get around the rules but at least there are some rules in place that are designed to stop employees from benefiting from their insider knowledge.

mgokev

October 6th, 2015 at 6:30 PM ^

Is that really the case? If so, why are there lists of insider transactions of executives buying or selling shares of their company's stock? And why are stock options awarded to employees at varying levels?

I'm certainly no expert but I know of many people that buy and sell their own company's stock whether on the free market or shares given as a part of a comp package.

MileHighWolverine

October 6th, 2015 at 7:29 PM ^

Different level employees get a different level of stock grants, options, etc. The CEO gets a lot more stock compensation than a first year analyst, for example. 

Having said that, employees are usually restricted from buying or selling unless it during a pre determined period of time that usually is once a quarter. They can't, or usually are prohibited, from buying or selling in the open market. 

twohooks

October 6th, 2015 at 4:50 PM ^

Part Deux. CNBC did a whole weeks worth of guest appearances with both companies. Trying to legitimaize through advertisments. This is just the beginning of what is yet to come.

baorao

October 6th, 2015 at 4:52 PM ^

forces them to pull the reigns back a bit on the ads. they advertise like 4 times an hour on every show I watch or listen to. and obviously knowing the percentages of such a large sample size would be a huge advantage towards deciding whether or not to buy a $25 lottery ticket.

GoBlueGB

October 6th, 2015 at 4:54 PM ^

My guess is they know the secret probability/strategy of winning.  For example you can enter up to the 500 lineups per tournament, and there has to be some type of probability/odds you can play to guarantee you win money.  Some tournaments are only just two NFL games and there is only so many different lineups you can play using just two NFL games.  By entering in a ton of lineups, you should be looking good to win the jackpot if you know the odds

BlueinLansing

October 6th, 2015 at 4:56 PM ^

that could happen is that both companies knew about what was happening and in fact were complicit in the way they opperated the games so that inside info could be used to win more easily.

Goblueman

October 6th, 2015 at 4:57 PM ^

Yes,I know a guy who won $70K and another who won $9K.It is fairly well known that Fanduel has there own sharks who also play.The access to the % of NFL players being picked in each contest is new but in retrospect it seems obvious that the sharks  would have & use that info.

Ronnie Kaye

October 6th, 2015 at 5:16 PM ^

Link won't click. How are NFL owners involved beyond taking sponsorship dollars? EDIT: Looked it up myself. Jones and Kraft have stakes in both companies. Not a surprise. They are the two sketchiest owners in the league and that is saying something.

chomz14

October 6th, 2015 at 5:55 PM ^

I've won $800 on a $5 tournament. My buddy won $2000 on a $25... Get a little taste of winning and you'll keep goin back. Scandal or not, I'll be playing my 15-20 lineups this weekend.

drz1111

October 6th, 2015 at 6:03 PM ^

When I was an underemployed 20 something, me and a friend of mine worked on developing fantasy sports formulas.  We didnt sports gamble b/c of the vig - "seasonal" fantasy was more profitable, oddly.  Both of us are really fucking good at this - my friend used to do insanely competitive and high stakes "seasonal" fantasy leagues in multiple sports and would just destroy folks. Like, was making five-figures a year off of fantasy for the past decade.  He also makes six figures a year trading securities, on TOP of his high five figure writing job that he does more or less because he loves writing.  He went to a Cal Tech / MIT type of school.  He's basically a genius who doesn't like to hold a real job with a boss. 

I sort of grew out of sports statistics and got a real job.  The few times I've been in a (seasonal) fantasy league with my buddy, he has absolutely destroyed me.   He's probably one of the best seasonal fantasy players in the world.

My buddy doesn't play daily fantasy anymore because its too competitive and he doesn't make enough money after the vig.

Keep that in mind when you think "how hard can it be?".

austinnt

October 6th, 2015 at 6:42 PM ^

Honestly I don't have a problem with this.

As long as the programmers weren't changing lineups mid game for the other company's employees, I don't see any reason why an employee of one company shouldn't enter in another.

No matter what tools they have at their disposal, they can't manipulate what happens on the field.

That said, I love fan fuel! Started with $50 and I'm up $400.

UNCWolverine

October 6th, 2015 at 7:29 PM ^

They announced that they did an internal investigation and the insider info given to the employee that used that info to win $350K that the public didn't have showed no wrongdoing. So case closed I guess, nothing to see here. Glad we got that settled.

I read on the edge of the internet that the guy played in a one on one matchup and could see who the other guy had on his team before picking his own. Not sure how that could be construed as an advantage...

/s

Moonlight Graham

October 6th, 2015 at 8:03 PM ^

It is gambling. I don't know how you can argue that it is not. If traditional sports betting is gambling, and horse betting is gambling, then this is gambling. And watching those commercials: If playing DraftKings turns me into any of those guys (Obnoxious Fist Pump Guy, Fixated On My iPad Guy, Screaming Backwards Hat RCMB Guy), no thanks you can keep your money.



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