An early release of lineup information in a DraftKings contest is raising questions about the transparency of the burgeoning daily fantasy industry.
Users in online forums are asking whether a DraftKings employee might have used information about lineups to win $350,000 in a competing contest on the FanDuel site. The information detailed the percentages of entrants who selected certain fantasy players.
The release, which the employee said was inadvertent, comes at a time when the daily fantasy industry is booming and DraftKings and FanDuel are spending tens of millions of dollars on advertising, which touts the ability of contest winners to get rich playing daily fantasy sports.
It also comes at a time when there are still gray areas surrounding the legality of the contests and no independent oversight over how the contests are run and whether everyone who enters is on a level playing field.