Aliso Viejo startup FantasyAces LLC is working with the sector’s biggest players to press state legislators to enact regulations in California on the booming daily fantasy sports segment.
Co-founder Trent Frisina recently joined executives from FanDuel Inc. in New York and Boston-based DraftKings Inc. at a hearing at the state capitol in Sacramento. His testimony focused on the challenges and opportunities of a startup in California and how his company expects to generate up to 20 new jobs in the next year or so if growth continues.
“We want to be a part of the discussion to help educate about the business so that regulation is done properly in California,” Frisina told the Business Journal.
FantasyAces, along with DraftKings and Fanduel—which dominate the emerging segment—want lawmakers to enact standards and rules that will keep fantasy sports operating in the nation’s largest state, rather than leaving their fate with the courts to decide on the contests, where players fill up rosters within a working-salary cap, waging less than a dollar in some cases and up to tens of thousands of dollars in others.
FantasyAces, which is publicly traded on the Toronto Stock Exchange under the holding company Fantasy Aces Daily Fantasy Sports Corp., hasn’t drawn the same ire as DraftKings and FanDuel, particularly in the state of New York, where the attorney general has tried to shut down the sites.
California State Assemblyman Marc Levine, D-San Rafael, sent a letter in November to Attorney General Kamala Harris requesting her office shut down DFS sites. Harris, who’s running for the U.S. Senate, hasn’t weighed in on the issue.
Daily fantasy sports, considered a game of skill, is legal in 45 states due to its exemption from the 2006 Unlawful Internet Gambling Enforcement Act.
Security Stats
A new survey released by Irvine-based security software maker SecureAuth Corp. and Wakefield Research revealed some glaring weaknesses in combating corporate cyber attacks.
The survey, which queried more than 300 IT security professionals, found that 59% of their employers experienced a data breach in the past 12 months. Furthermore, 62% of respondents said managing the consequences of data breaches cost more than protection, and 87% of cybersecurity professionals contend their companies are frequently forced to choose between user experience and greater security.
81% of respondents said new authentication methods are prohibitive because they require the latest technology and updated software. 97% believe new authentication techniques, such as fingerprint scans and two-factor authentication, are reliable. About 91% believe traditional passwords won’t exist in a decade.
Cybersecurity professionals should apply adaptive authentication techniques combined with passwords to guard against breaches and protect data, according to SecureAuth Chief Executive Craig Lund.
“While passwords remain a cumbersome form of security, eliminating them altogether will be hard to accomplish,” he said.
About 95% of cybersecurity professionals surveyed intend to increase spending this year.
Relevant VR Development
Laguna Beach startup NextVR Inc. is partnering with Relevent Sports, a unit of RSE Ventures in New York, to broadcast live coverage of the International Champions Cup in virtual reality. The cup, which features the world’s top soccer clubs, including Real Madrid, Manchester United and Paris Saint-Germain, will be held this summer across the world. The latest development builds on NextVR’s growing niche in the emerging segment. It was the first to broadcast an NBA game, NASCAR event, concert and presidential debate in virtual reality.
