Connecticut’s gambling regulator fined DraftKings $19,000 after 522 users lost their combined first 20,000 spins on a new slot game due to a software glitch. [Image: Shutterstock.com]

Significant incident

DraftKings has to pay a $19,000 fine in Connecticut after an issue with one of its online slots led to players failing to notch any wins in 20,000 spins.

The “Deal or No Deal Banker’s Bonanza” game launched on the DraftKings Casino in August 2023, with 522 users playing it during the initial release week.

prevented winners despite the slot game’s supposed average payout of 95%

Connecticut’s Department of Consumer Protection’s Gaming Division provided these details to the CT Insider after the conclusion of an official investigation that discovered a software glitch that prevented winners despite the slot game’s supposed average payout of 95%.

Delays in reporting the error

While DraftKings subsequently refunded the stakes totaling $23,909 to the impacted users, the operator didn’t tell them the reason. Neither DraftKings nor White Hat Gaming, the creator of the game, reported the issue until the state’s gambling regulator got in touch after receiving complaints from customers.

In addition to the $19,000 penalty for DraftKings, White Hat Gaming has to pay a $3,500 fine. The former has to pay a bigger sum because of how it initially responded to users’ complaints about the error.

spokesperson for DraftKings said the issue was contained to Connecticut

Responding to the CT Insider’s comment request, a spokesperson for DraftKings said the issue was contained to Connecticut and it found no problems with any other games from White Hat.

Preventing future issues

Off the back of the penalties, the two companies also agreed to implement more stringent internal controls, such as more extensively testing new games before they go live to ensure payouts are accurate.

Connecticut is one of only seven states with legal online casinos, with iGaming launching in the Constitution State in October 2021.

DraftKings also needs to regularly inform the regulator about new games and prove their payout rates are greater than zero, while immediately reporting any issues that arise.