DraftKings, FanDuel allowed back in NY under new law - CNET

It's finally game on for daily fantasy sports in New York.

DraftKings and FanDuel will be able to operate legally in the Empire State after Gov. Andrew Cuomo on Wednesday signed into law a bill legalizing daily fantasy sports websites. Cuomo's signature ends a contentious nine months for the sites that began in November when New York Attoey General Eric Schneiderman issued cease-and-desist letters to the companies.

"Daily fantasy sports have proven to be popular in New York but until now have operated with no supervision and no protections for players," Cuomo said in a statement. "This legislation strikes the right balance that allows this activity to continue with oversight from state regulators, new consumer protections and more funding for education."

The daily fantasy sports industry has experienced huge growth in recent years, generating an estimated $2.6 billion in entry fees in 2015 alone, according to Eilers Research. But that rapid growth has been dogged by questions about how such contests, which offer cash prizes to contestants who compete in abbreviated daily versions of the traditional season-long fantasy sports leagues, might be violating state gambling laws.

The new law goes into effect as many states have found the industry to be in violation of state gambling laws. Laws in at least six states prohibit their residents from playing daily fantasy sports games.