DraftKings and FanDuel have announced the removal of their Daily Fantasy Sports (DFS) contests from Ontario effective April 1, just days before the launch of Ontario's regulated sports betting market.

The decision stems from Ontario's legal requirement that DFS players can only compete against others within the province. Additionally, operators face significant financial obligations, including $100,000 annual licensing fees and 20% revenue share with the Ontario government.

The Alcohol and Gaming Commission of Ontario (AGCO) classifies DFS as pay-to-play gambling, subjecting it to the same regulations as sports betting. This classification creates operational challenges for DFS providers in the region.

However, both companies will launch their sportsbook operations in Ontario on April 4:

• FanDuel has already secured its AGCO and iGaming Ontario (iGO) licenses
• DraftKings is pending license approval but expected to launch soon

Other major sportsbook operators are also preparing to enter the Ontario market on April 4, marking a significant expansion of legal sports betting options in Canada's most populous province.

While DFS contests will no longer be available from these major operators, this situation could change if Ontario modifies its regulatory framework. Currently, there's no indication if other DFS operators will maintain or withdraw their services from the Ontario market.

The loss of DFS contests represents a significant shift in Ontario's gaming landscape, as these were previously the only way Ontario customers could engage with DraftKings and FanDuel platforms. The focus now shifts to traditional sports betting offerings as the province embraces a regulated market.

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