Colorado Regulator Issues Fine to Fanatics Sportsbook
David Genge Published 11/09/2026
The Colorado Limited Gaming Control Commission (CLGCC) has fined Fanatics Sportsbook $20,000 for sending promotions to an excluded player. According to the CLGCC, Fanatics Sportsbook twice issued promotional offers to a VIP player who had chosen self-exclusion from all online sports betting apps. The player had chosen to place himself on Colorado's self-exclusion list for a five-year period that began on January 15, 2026.
A Fanatics VIP rep contacted the player twice during February with promotional offers designed to encourage people to gamble on the Fanatics platform. The state regulator found Fanatics Sportsbook to be in violation of Colorado's gambling laws and issued the fine.
Fanatics found to have violated the company's own policies
The CLGCC investigation found that Fanatics Sportsbook had ignored the company's own responsible gambling strategy when committing this violation. On October 1, 2025, Fanatics submitted its strategy for implementation to Colorado's state regulator.
As part of the company's strategy for implementation of a responsible gaming program, Fanatics stated that it “will not intentionally market to any known Self-Excluded individuals.”
On January 15, 2026, customer T.M., identified in the documents relating to the investigation as Patron A, initiated a five-year self-exclusion from Fanatics Sportsbook. As of that date, Patron A constituted a known self-excluded individual under Colorado's gaming laws.
On February 1, 2026, Fanatics, through a member of the sportsbook's VIP team, contacted Patron A via a text message with a promotional offer. Three days later, Fanatics identified the error and notified the company's VIP leadership team. Training materials were distributed to all customer-facing VIP team members.
However, on February 17, another member of the Fanatics VIP team contacted Patron A via a text message with another promotional offer. By sending the February 1 communication and the February 17 communication to a known self-excluded individual, Fanatics failed to ensure compliance with its strategy for the implementation of a responsible gaming program under Colorado gaming regulations. As well, by failing to ensure compliance with its strategy for the implementation of a responsible gaming program, Fanatics was also in violation of state gaming rules.
The Colorado regulator could have come down much harder on Fanatics Sportsbook
To the credit of Fanatics Sportsbook, the company acknowledged responsibility for these violations. There was no attempt to deflect that responsibility when confronted by the CLGCC investigation.
"The Division and Respondent have discussed the merits of the investigation and allegations, and they have come to a mutual agreement and understanding to jointly propose to the Commission a resolution of the allegations in lieu of proceeding to the issuance by the Commission of an Order to Show Cause and conducting a hearing to determine the merits of such allegations," read the report from the CLGCC.
In addition to the fine, Fanatics Sportsbook also agreed to audit its self-exclusion list. Once that audit is complete, Fanatics will submit a report to the CLGCC. Evidence must also be provided that the company's employees have undergone appropriate training for dealing with this scenario in the future.
The punishment meted out to Fanatics Sportsbook could have been much harsher. Under Colorado gaming regulations, a Colorado sports betting license may be suspended, revoked, or face a monetary penalty for any violation by the licensee of any rule or regulation promulgated by the CLGCC.
Colorado recently firmed up its responsible gaming laws
Colorado lawmakers recently passed legislation revamping much of the state's gaming laws. Among the changes that Governor Jared Polis was signing into law was one that dealt specifically with this situation.
The new laws prohibit betting sites from sending push notifications or text messages that encourage inactive users to gamble.
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