Regulatory bodies in West Virginia examining PrizePicks over possible violations
In the digital landscape of Kenya, the addition of a PayPal feature to the M-PESA app by Safaricom could potentially impact the local digital economy and online betting sector. Meanwhile, across the Atlantic, a legal battle is unfolding in West Virginia, USA, surrounding the status of PrizePicks' "against-the-house" contests.
The West Virginia Lottery Commission issued a cease-and-desist order to PrizePicks in 2022, arguing that their "against-the-house" format constitutes sports betting under state law. However, PrizePicks disagrees with this classification and has responded by introducing the Arena product, a modified version where users compete head-to-head against each other on leaderboards rather than against the platform's set lines.
Attorney General John McCuskey, upon request from House Speaker Roger Hanshaw, reviewed the issue and provided an opinion that "against-the-house" DFS contests could, theoretically, be considered sports wagering under West Virginia law. This legal uncertainty has led to ongoing debate and regulatory scrutiny.
Despite the challenges, PrizePicks has secured licenses in Maine and Puerto Rico and continues to operate its Arena product in West Virginia. The company advocates for legislative clarification to define DFS and sports wagering distinctly, aiming to resolve the ambiguity surrounding their original "against-the-house" model.
As of August 2025, West Virginia has not passed explicit legislation clarifying the legal treatment of PrizePicks’ contests. The regulatory environment remains tense, with the company operating under ongoing debate and scrutiny.
In summary, the current legal status of PrizePicks' "against-the-house" contests in West Virginia remains ambiguous and contentious: the state’s official legal opinion leans toward classifying them as illegal sports wagering, yet a modified player-versus-player version (Arena) is permitted to operate pending clearer laws.
Meanwhile, the growth of PrizePicks strengthens its presence in regulated markets and solidifies its status as a compliant operator. Consistent laws across states could benefit both users and operators in the DFS sector, fostering a more transparent and stable regulatory environment.
Sports betting remains a contentious issue in West Virginia, with the legal status of PrizePicks' "against-the-house" contests yet to be clarified. Meanwhile, the company's expansion into sports-betting markets, such as Maine and Puerto Rico, indicates its commitment to operating in a compliant manner within the digital sports sector.
