PrizePicks Ends ‘Pick ’Em’ Against the House as DFS Faces Legal Pressure

One of the biggest daily fantasy sports (DFS) operators, PrizePicks, has ended offering its against-the-house Pick ‘Em contests, replacing them with the peer-to-peer Real Money Game (previously Arena) across the U.S. The operator has also launched Streak, a free-to-play streak builder with prizes up to $1 million.

The move comes amid increasing scrutiny of against-the-house DFS and weeks after California’s Attorney General, Rob Bonta, announced that all DFS was illegal and threatened enforcement actions.

What Was Pick ’Em?

In the now-discontinued format, users compete against the house on whether athletes will go over or under projected stats. For example, whether Josh Allen will score over or under two touchdowns.

Users select two to six stats, with the operator determining the contest odds. Winnings are based on fixed multipliers, which grow with the number of correct picks.

The setup resembled prop wagers in sports betting, drawing increased attention from regulators. Several state gambling regulators, such as those in Florida, New York, Michigan, and Illinois, have cracked down on the contests.

Notably, most DFS operators still offer the Pick ‘Em format in some states.

Real Money Game Takes the Spotlight

The peer-to-peer format is now the default format at PrizePicks. The mechanics are similar as users still build lineups of over/under player stats. However, players compete against each other with PrizePicks taking a commission.

The odds and payouts in Real Money Game are determined by each user’s performance relative to the other players in the pool, similar to traditional fantasy leaderboards.

PrizePicks had transitioned to the format in multiple states, where it faced regulatory pressure, including in California. Real Money Game is now available in 35 states.

While the strategy is not new, it now encompasses most of the markets in which PrizePicks operates. The pivot reframes the operator’s role as a facilitator rather than participant, a key legal distinction. Also, the contest change provides platforms with an argument that peer-to-peer fantasy is a private contest of skill, not subject to gambling laws.

Still, Real Money Game remains in a state of ambiguity. In his July 3 opinion that DFS is illegal, Bonta stated that peer-to-peer contests are also unlawful as players risk money on the outcomes of third-party sports performances.

Streak: A Free-to-Play Daily Challenge

While shifting to Real Money Game in most of the 45 states, PrizePicks has also introduced Streak, a free-to-play game.

Each day, users make one free pick on a featured player’s stat line—choosing “More” or “Less.” Consecutive wins extend a streak, unlocking free Power Lineups worth real-money prizes.

• A two-day streak earns a free four-pick lineup.
• Longer streaks progressively unlock bigger prizes.
• A perfect streak can lead to a chance at $1 million.

Importantly, DNPs (Did Not Play) and ties don’t break streaks. Streak is only available in select states, including CT, IA, LA, MD, MI, MS, NJ, NY, OH, and PA.

California’s Regulatory Curveball

On July 3, Bonta issued an opinion that all DFS contests likely fall under the state’s illegal sports wagering statutes. However, his opinion does not change the law in California. It only serves as an advisory interpretation of the law, intended to guide lawmakers and enforcement agencies.

For DFS to become illegal in California, lawmakers must pass a new law or courts must intervene. Still, Bonta’s opinion does have weight, as state courts traditionally side with the Attorney General’s legal opinions.

Underdog Fantasy, another prominent DFS operator, attempted to block the release of Bonta’s opinion with a lawsuit. However, a judge rejected the injunction.

In the lawsuit, Underdog revealed that California accounts for 10% of its revenue. It claimed a potential ban would cause immediate and lasting financial harm to the company. At the same time, millions of Californians, who have played fantasy sports for decades, will be cut off.

About two weeks later, Underdog also switched to its peer-to-peer format, Champions. While it still offers Pick ‘Em, the eligible jurisdictions have shrunk to 15, while the Champions format has expanded to 21.

Why This Matters

California is the largest DFS market in the United States, making its regulatory environment critical for operators. PrizePicks’ pivot away from Pick ’Em toward Real Money Game (and the launch of Streak) reflects both a cautionary strategy and innovation.

Whether regulators will question and potentially seek enforcement actions against these formats remains to be seen. But the changes highlight how swiftly legal pressure can force product reinvention in the DFS industry.