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Racing Commission approves gambling on E-Sports contests, no casino E-sport betting

News, Sports

June 5th, 2020 by Ric Hanson

(Radio Iowa) The Iowa Racing and Gaming Commission has approved betting on E-sports through sports contests — but not at the state’s casinos. Draft-Kings spokesman Chris Cippola asked the commission to approve E-sport wagering through his company’s contests. “E-sports are organized multiplayer video game competitions in which competitors from different teams compete against each other in tournaments and leagues — in which participants exhibit elite physical talent and skill,” according to Cippola.

Cippola says E-sports have many of the same characteristics as regular sports. “Professional players receive lucrative salaries, endorsements and prize money and teams are sponsored by Fortune 500 companies,” he says. “E-sports competitions have filled the world’s largest sporting arenas and are widely viewed on an international level via popular streaming mediums like Twitch and YouTube.” He cited one example of a popular E-sports. “Rocket League is a competitive video game where players drive vehicles that compete in a soccer match,” he explains, “It is cars playing soccer that are controlled by human participants.”

The commissioners approved the request to allow sports betting on games involving E-sports. They were then asked by Iowa Gaming Association president Wes Ehrecke to approve the same for casinos and their sports betting parlors.”We believe that E-sports clearly fits well in this category for casino sports books to offer wager options on these events. They have a sanctioning governing body — the World E-sports Association for the national level, a national association for college E-sports at the collegiate level,” Ehrecke says.

Assistant Attorney General, Jeff Peterzalek told commissioners that wagering on sports contests and actual sports are governed in separate sections of the law — and the language doesn’t match. “What you just approve in the prior agenda item wasn’t because E-sports were a sport or an authorized sporting even. It was because they are a simulated game or contest — which is expressly allowed in 99-E — but there is no such language in 99-F,” according to Peterzalek.

He says the sports betting definition is very specific and doesn’t include E-sports. “It does not meet the definition of authorized sporting events. I would also note that the definition of authorized sporting events expressly excludes — excludes fantasy sports as defined in chapter 99-E,” he says. “It doesn’t meet the other definitions of professional sporting events, international sporting events, or any of the other definitions that would be needed.” The issue failed after no one made a motion on it. Peterzalek says the casinos could petition the I-R-G-C for a legal opinion on sports betting on E-sports as one option.