Why Does DraftKings Not Have Horseracing?

By Daily Fantasy Focus

September 27, 2021


If you’ve lately visited DraftKings, you already know that they have a large number of markets to choose from. One of DraftKings’ most considerable charms is the extensive market options. Horse racing, on the other hand, is a betting choice that isn’t available. So, this might lead you to ask why does DraftKings not have horseracing.

When compared to sports betting, horseracing is considerably different. The odds are calculated differently, and there is a lot of fixing and manipulation. However, Horserace betting is still a work in progress for DraftKings.

That is only a tiny snippet of the whole story. Where it gets a lot more interesting is when you dig deep into it all. So, let’s get started. One thing is for sure, the little tidbits I am going to discuss will be interesting.

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Why Does DraftKings Not Have Horseracing?

UPDATE: DraftKings now has horseracing and you can find the app here.

Sports betting now is more popular than ever. And one particular bet is gaining in popularity more and more. Horserace betting has it all. It has the thrill of betting, and there is the aspect of man vs. animal.

You can enjoy it casually and also be super enthusiastic about it. It is one of the popular things to bet on. Although it may not be as popular as traditional sports betting like football or basketball, it is still there.

So, when fellow bettors who have been using DraftKings for all kinds of sports betting online check to see whether they offer horserace betting or not, they are surprised. DraftKings does not allow you to bet on horserace betting.

The reason for this is quite simple. DraftKings has not yet expanded to horserace betting. It does not even let you bet on the biggest race of the year – the Kentucky Derby. So, why is that?

This is not just because they did not want to. There are some legal implications at play here. Betting on horseracing is slightly different compared to other sports. I will discuss this a bit later.

But as of now, DraftKings allows you to bet on online fantasy betting and sports betting in different states. And some of those states are banned. Take the Kentucky Derby, for example. It is perfectly legal to bet on the Kentucky Derby in 49 states.

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However, it is also banned in 11 states. One of those prohibited states is Washington DC. DraftKings has plans on expanding to the broader horserace betting market. So, you might see the option be added in the future. But as of now, it has not done it yet.

Since the rules are a bit different, they need to go through some hoops legally. So, give them time to sort things out.

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How Horserace Betting Differs

There are some very distinct differences between horserace betting and other sports betting. The most prominent one is how the odds are calculated. If you know anything about online betting, you will know that odds are super important.

I cannot stress this enough. The odds have a significant role to play when it comes to betting. It is usually the essential thing a bettor pays attention to. And since it is vastly different from other sports, it makes it a bit tricky. Odds in horserace betting are calculated differently.

How Are Odds Calculated In Horserace Betting?

Horserace betting uses a betting system called pari-mutuel betting. What does this mean? Well, what it essentially means is that the odds are established differently. It is found about how many punters wager on a particular horse. And the bet is mutual as well.

And the bettors are also competing against each other. They have the same money pool. This is very different from sports betting. The sportsbook in sports betting sets the odds without taking the number of people betting.

There is a formula that is used when odds are being calculated for horseracing. The procedure considers three things: the total amount bet on a race, the amount bet on each horse, and finally, the percentage that the track/off-track site will keep.

Compare this to usual sports betting. Several factors come into play while calculating the odds:

  • Team Statistics
  • Recent performances
  • Any favorable situations
  • Weather
  • Player fitness
  • Any criteria specific to the particular sport and
  • Site margin (profit of sportsbook)

Horseracing odds are calculated based on forecasts by punters, whereas sports betting odds are calculated based on the bookie’s analysis.

Fixing And Manipulation

This is an unfortunate case, but true. There is a lot more fixing and manipulation that goes into horserace betting compared to other sports. I think this may be one of the biggest hurdles for sites like DraftKings.

Some online betting sites offer betting exchange features. This means punters can create odds that are in their favor. As you can see, this would be entirely fair for everybody else who bets.

DraftKings wants to offer you fair odds. Ones that you can trust and be sure that they will not be subject to manipulation. They are extra careful when it comes to the integrity of the site.

The site has earned an excellent reputation within a relatively short number of years. I am sure they do not want to lose that reputation by offering a betting option that is volatile to fixing.

Betting On An Animal Vs. Betting On A Human Being

The last difference is the psychological one. With horseracing, you are betting on a horse. An animal’s behavior can be unpredictable.

You might not always have complete trust in an animal to perform something consistently without any question. For example, in horseracing, a particular stallion might not even want to run the race at the start.

But how much can you do if the horse does not want to do something?

Some horse races will have fences and obstacles. You do not expect a human athlete to be this unpredictable. They are professionals who are at the top of their field. So, human athletes are more consistent.

Individual players are not entirely free of the unpredictable, though. Perhaps their bad behavior or rudeness led them to receive a red card. These can impact the outcome of the match. Or a racer might have a false start and get disqualified.

In general, though, horses are more unpredictable. That is why the dynamics between the two are a bit different.

DraftKings undoubtedly takes all of these minor and major differences into account. As I mentioned before, when they offer a market, they need to make sure all the kinks are worked out.

Conclusion

There you have it. Now you should have a pretty good idea about why does DraftKings not have horseracing. Given how the world of horserace and sports betting is different, it is not that easy to expand. 

The odds are calculated differently, and more importantly, there are many issues with match fixings in animal-based sports. Also, animal behavior can be unpredictable. So, precalculating a match can be difficult, which is a part of the DraftKings experience. But, DraftKings knows that this is a popular medium for betting and should be considering adding it to their collection in the future.

Daily Fantasy Focus

About the author

Daily Fantasy Sports (DFF) is a resource to help you learn how to use Daily Fantasy Sports platforms.

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