The Massachusetts Gaming Commission has levied fines of upwards of $50,000 against several sportsbook operators such as BetMGM, FanDuel, Fanatics Sportsbook, and PENN Sports Interactive. The regulator discussed issues with the sportsbooks due to noncompliance, and the discussion even delved into the rise of prediction platforms.

The Massachusetts Gaming Commission has imposed $50,000 in civil fines on four licensed sports betting operators for a series of noncompliance violations, while also reviewing two new incidents and briefly discussing the future of sports prediction markets during a packed commission meeting.

BetMGM, PENN Sports Interactive, FanDuel, and Fanatics Betting and Gaming were all penalized for prior infractions, ranging from improper betting markets to marketing missteps.

Multiple operators sanctioned for prohibited bets

The largest fine of the day, $20,000, was handed to FanDuel for repeatedly accepting wagers on the Belarusian national soccer team - a market explicitly banned in Massachusetts due to the state's prohibition on betting involving Russian or Belarusian athletes or teams.

According to the Investigations and Enforcement Bureau, FanDuel took 3,871 bets totaling $11,792 between March 2023 and March 2024, followed by another 178 bets valued at $5,829 in July 2024. FanDuel claimed it had misinterpreted the scope of the prohibition.

Meanwhile, Fanatics Sportsbook was fined $10,000 for a similar offense, accepting 127 prohibited bets on Belarusian soccer from September 2023 to March 2024, totaling $968.13. Unlike FanDuel, Fanatics did not self-report the violation; it was uncovered by the state's sports wagering division.

BetMGM also received a $10,000 penalty for accepting bets on LPGA Tour events - at a time when the league had not yet been approved as a wagering market. Between March 2023 and May 2024, BetMGM processed 1,934 bets totaling $1,642.46 before the LPGA gained approval as a valid betting market in the state.

PENN Sports Interactive was also fined $10,000 after inadvertently sending promotional materials to individuals who had enrolled in the voluntary self-exclusion program. This misstep raised concern among some commissioners, including Eileen O'Brien, who called the error 'troubling' and advocated for a higher fine. However, the commission ultimately agreed to the IEB's recommended penalty.

Two new violations sent for further review

In addition to handing out fines, the MGC reviewed two new potential noncompliance events that may lead to further penalties. Fanatics Betting and Gaming accepted 36 prohibited bets on Heisman Trophy futures, a market not approved in Massachusetts. The bets, totaling $545.70, were placed between January and March 2025. The commission voted to return the matter to the IEB for further investigation.

DraftKings also came under scrutiny after offering 89 player prop bets on an NCAA men's basketball game between Oregon and Arizona on March 23, 2025. The bets involved points totals for individual players and amounted to $1,655 in wagers - violating restrictions on college player props. This case, too, was sent back to the IEB.

Prediction market discussion stays cautious

The commission also held a brief discussion on sports prediction markets, which involve trading on the outcome of future events, such as election results or sporting outcomes, often through platforms like Kalshi and Robinhood.

MGC Chair Jordan Maynard stressed that the update was not intended to spark "soundbites," and reiterated that the safest method of betting remains through Massachusetts' licensed operators. Deputy General Counsel Justin Stempeck outlined the basic structure of prediction markets and noted that jurisdictional authority is still being contested. Several states are attempting to regulate these markets, while platforms argue they should fall under federal oversight by the Commodity Futures Trading Commission. Commissioner O'Brien requested continued updates on ongoing legal disputes in this space, though no formal action was taken by the MGC.

As Massachusetts' legal sports betting market continues to mature, the MGC remains focused on maintaining compliance among operators and protecting consumers. While most violations reviewed were administrative in nature, the commission emphasized the importance of vigilance and proactive oversight in a highly regulated environment.