DraftKings has taken a significant step into electoral politics with the formation of its own corporate political action committee (PAC). The move, confirmed through filings with the Federal Election Commission (FEC), positions the sports betting giant as a more direct participant in shaping regulatory and legislative developments affecting its business across the United States.

DraftKings enters political arena with new corporate PAC:

The DraftKings Inc. Political Action Committee will be led by senior company figures: Lauren Pfingstag Vahey, the Senior Director of Federal Affairs, and Griffin Finan, Senior Vice President and Deputy General Counsel. According to the company, the PAC is intended to support both federal and state candidates and organizations that are attentive to policy issues impacting the betting industry.

“We have established this PAC to support state and federal candidates and organizations who have shown an interest in issues affecting our business,” a DraftKings spokesperson told several media outlets. The company further emphasized that it intends to “build the best, most trusted, and most customer-centric destination for our players.”

The launch of the PAC comes as DraftKings faces increasing challenges from state and federal authorities. Recent legislation in Illinois introduced a per-wager tax on sportsbooks, prompting strong criticism from operators. DraftKings has argued that such measures risk driving players toward unregulated, offshore betting platforms.

“The recent tax increase in Illinois makes it harder to provide the best service to our players while it simultaneously incentivizes more players to wager in the unregulated, illegal market,” the company said. The new tax scheme has already led both DraftKings and FanDuel to announce a $0.50 surcharge per bet for Illinois users.

Beyond taxation, federal lawmakers have also sharpened their focus on the industry. Last year, a bipartisan pair of senators called for antitrust investigations into DraftKings and FanDuel following their abandoned 2016 merger attempt. The Senate Judiciary Committee also held a hearing late last year examining consumer protections in legal sports betting.

While DraftKings did not explicitly connect the PAC’s launch to these regulatory developments, its timing reflects the company’s growing concerns about industry headwinds. “Among other things, we are monitoring a range of regulatory, tax, and licensing policies around the country,” the company stated in its public comments.

Strategic role of the DraftKings PAC:

This latest initiative signals DraftKings’ intent to increase its direct engagement in public policy discussions. Unlike lobbying—which DraftKings has already invested in, spending $420,000 at the federal level in 2024 alone—a PAC enables the company to financially support specific candidates and committees. DraftKings also previously donated $502,000 in in-kind contributions to President Trump’s inaugural committee, according to federal filings.

Under federal election law, the DraftKings PAC qualifies as a separate segregated fund (SSF), which means it can only solicit contributions from individuals with ties to the company. This model is commonly used by corporate PACs to amplify political influence within the bounds of campaign finance laws.

According to Politico, DraftKings is not the only player in the gaming sector with a PAC. Casino brands like MGM Resorts and Caesars Entertainment, as well as daily fantasy sports operator PrizePicks, have long-standing political arms. However, DraftKings stands out as one of the first sports betting operators to independently launch such a committee—an indication of the evolving political dynamics around legalized gambling.