Popular daily fantasy sports operator PrizePicks is back in a lucrative market following a lengthy process.
Key Takeaways
- PrizePicks is operating in New York again after receiving an interactive fantasy license in October 2025.
- The DFS company is offering peer-to-peer games only.
- New York settled with PrizePicks for $15 million in 2024.
The sports entertainment company announced on Wednesday that its peer-to-peer fantasy contests are now live in New York, nearly four months after gaining an interactive fantasy sports license from the Empire State’s gaming commission.
Oh my gawd! PrizePicks is LIVE in New York again 🗽
— PrizePicks (@PrizePicks) February 4, 2026
Tag a friend in NY who needs to lock in pic.twitter.com/SYH9zkBRdm
“Returning to New York is a testament to the state’s commitment to embracing innovative gaming products,” Nick Zabriskie, PrizePicks SVP of government affairs, said in a statement. “Players deserve a competitive landscape, allowing them to engage with their favorite contests in a regulated environment. We’re excited to bring our games back to sports fans who have eagerly been awaiting our return and to extend our footprint in the Empire State.”
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Long road back
The DFS site stopped offering fantasy games against the house in August 2025, helping PrizePicks meet regulatory requirements in several states, including New York. The peer-to-peer contests pit players against each other, which result in lower fees and higher payouts.
New York created a fantasy sports framework in 2016. PrizePicks began offering contests in the Empire State in 2019, but its “pickem” games, involving the house, were deemed illegal by the New York State Gaming Commission when fantasy requirements were expanded in 2023, and PrizePicks ceased operating there in February 2024.
PrizePicks argued that it was acting in good faith, but since it wasn’t licensed, the operator was forced out of the market for games that weren’t regulated. PrizePicks settled its legal issues with New York regulators for $15 million in November 2024, a fine that was based on the company’s revenue from June 2019 through December 2023.
Meeting requirements
The matter was fully resolved with the gaming commission, and the DFS operator applied for a New York sports betting license last year. In October 2025, PrizePicks’ contests were formally ratified as games of skill by the Empire State, which New York Sen. Joseph Addabbo called a “clear statement that our state will continue to embrace innovative” DFS businesses.
“We want to thank the New York State Gaming Commission for their collaboration and recognition of our peer-to-peer offering as a fantasy sports contest,” Jason Barclay, PrizePicks' head of public policy and chief legal officer, said last year. “We worked diligently to design a game that meets the Commission's rigorous standards, and New York's decision underscores the idea that innovation in fantasy sports can thrive within a clear regulatory framework.”
Growth and expansion
PrizePicks is one of the leading fantasy operators in the U.S. The Atlanta-based company, founded in 2015, is operating DFS games in 48 jurisdictions. After lottery giant Allwyn purchased a majority stake in the company last year, PrizePicks’ valuation spiked to over $2 billion and has spurred further technological and jurisdictional expansion.
The DFS operator is getting into more than just sports, with plans to offer entertainment products. Late last year, PrizePicks partnered with prediction market platforms Kalshi and Polymarket to add sports event contracts to its selection of picks.
