DraftKings Details VIP Safeguards and Rejects Targeting Claims in Reply to Congressional Inquiry

DraftKings has stated that its VIP and rewards programs do not target customers showing signs of problem gambling or those most likely to lose in order to encourage further wagering.

The company made the statements in a six-page response to an October 22 inquiry from Sen. Richard Blumenthal and Reps. Paul Tonko and Valerie Foushee. The inquiry requested details on VIP practices and responsible gambling measures.

“DraftKings does not target anyone based on indicators of potential problem gambling nor does it seek to identify customers most likely to lose and get them to bet more,” the company wrote.

VIP Host Requirements and Loyalty Program Limits

DraftKings said customers on self-exclusion or involuntary exclusion lists receive no promotions. Promotional communications are suspended during cooling-off periods and for a period after return. VIP hosts must refer customers showing signs of problem gambling to the Responsible Engagement Team, with crisis cases receiving priority.

Hosts must randomly select 10 customers each month for responsible gambling reviews. These checks ask whether customers are gambling within their means, whether betting affects other parts of their lives, and whether they still view gambling as entertainment. Fewer than 1% of DraftKings customers belong to its Diamond and Onyx loyalty tiers.

The company denied using AI to identify customers likely to lose or showing signs of gambling problems. It uses data science and machine learning to target promotions based on customer preferences. DraftKings disputed a September New York Times investigation that alleged machine-learning models identified customers likely to respond to promotions by gambling and losing more. The company declined to disclose average gains or losses of rewards program members, calling the information competitively sensitive. It pointed instead to its My Stat Sheet tool, which nearly half of customers accessed within a year of the March 2024 launch.

Broader Push for Federal Sports Betting Standards

The inquiry forms part of continued pressure from some lawmakers for stronger federal involvement in sports betting oversight. Blumenthal and Tonko have backed the SAFE Bet Act, reintroduced in 2025. The proposal includes restrictions on gambling advertising during live events, affordability checks, and a requirement for states to obtain federal approval before offering legal sports betting. The measure has not advanced and faces industry opposition.

Sports betting regulation has remained with states since the 2018 Supreme Court decision overturning the Professional and Amateur Sports Protection Act. A House hearing titled “The Rise of Sports Gambling on College Campuses” is scheduled for November 11, 2026. As reported by World Casino News, DraftKings emphasized that its VIP hosts focus on creating engaging experiences, long-term retention, and ensuring customers choose its platform over competitors.