ProPublica Reporter Tests DraftKings' Problem Gambling Safeguards and Finds Limited Intervention

ProPublica reporter Jake Pearson has published the results of an experiment designed to test how well DraftKings' problem gambling safeguards work. He opened an account with the operator without hiding that he was a journalist, and was supported by a team of addiction specialists, professional gamblers and people who had experienced gambling harm, who helped ensure his behavior resembled that of someone developing a gambling problem.

Pearson began with relatively modest bets during his first week, then escalated sharply, losing more than $1,700 in a single evening. After several days of mounting losses, he received an invitation to the DraftKings VIP Showcase program. He also received his first safer gambling warning when he deposited more than $2,500, which asked whether he wanted to visit the Responsible Gaming Center. He declined and kept raising his wagers. By his account, responsible gaming prompts appeared in the app on only one of the 10 days he spent heavily betting on the World Cup.

When it became clear that the operator would take no action beyond occasional warnings, Pearson enrolled in a three-day cool-off period. Less than a week later, he contacted his VIP representative, who offered $1,250 in free DK Dollars if he deposited $5,000, with no questions asked.

The ProPublica report argues that the findings point to wider structural problems in how the US regulates gambling companies. It notes that heavy spenders account for most industry revenue, which discourages intervention, and that the opt-in nature of safer gambling tools limits their effectiveness while a steady flow of promotions encourages continued wagering.

The experiment comes as DraftKings faces several lawsuits accusing it of targeting vulnerable customers. Those allegations have not been proven in court. A recent New York Times investigation claimed the company has systems to identify losing gamblers who may respond to promotional offers. DraftKings disputed the findings and said it does not use AI to target customers based on their losses.

Many safer gambling experts say current rules are inadequate because they leave players to regulate themselves, meaning people often seek help only after significant losses. Jurisdictions such as the UK have introduced stricter controls, but overly restrictive measures can push users toward unregulated alternatives, leaving lawmakers in a difficult position as problem gambling rates continue to rise.