Arkansas Racing Commission approves FanDuel and DraftKings vendor licenses

On 26 February 2026, the Arkansas Racing Commission unanimously approved vendor licenses for FanDuel and DraftKings to operate sports wagering platforms within the state. This regulatory approval marks a significant shift in the governance of Arkansas online betting, ending a period where major national operators largely avoided the market due to the state's stringent financial requirements.

The approved arrangements require the national operators to adhere to a state-mandated 51%-49% revenue split, a structure that favours in-state casino partners over the third-party vendors. FanDuel will operate under a partnership with Oaklawn Casino, while DraftKings has secured a similar arrangement with Southland Casino Hotel. These entities have accepted the terms, allowing them to transition their existing local applications to the new national platforms.

Under the new framework, the existing Oaklawn Sports app will cease independent operations and will instead function as a FanDuel platform powered by Oaklawn Sports. Similarly, the Betly application, previously used by Southland Casino Hotel, will be integrated into the DraftKings platform. This consolidation represents a policy-driven realignment of the state's digital wagering infrastructure, ensuring that the primary revenue streams remain with the local commercial casinos.

Saracen Casino Resort remains an outlier in this regulatory landscape. Unlike its counterparts, the resort did not enter into a licensing partnership with a national sportsbook operator. Consequently, it continues to operate its independent BETSaracen app, maintaining a standalone position in the state's three-casino sports betting ecosystem. All three commercial casinos retain the statutory permission to operate two sportsbook applications each.

The decision by the Arkansas Racing Commission facilitates the immediate launch of sportsbook promotions and betting sites for the newly licensed operators. This move follows years of legalisation since 2019, with online sports betting specifically launching in 2022. The approval underscores the state government's continued focus on maximising tax revenue through high-margin partnerships while maintaining strict control over the distribution of gaming funds.

Wagering remains restricted to professional and college sports, with eSports and prediction markets explicitly excluded from the permitted scope. Users must be physically located within Arkansas and be at least 21 years old to participate, though state residency is not a prerequisite. The tax revenue generated from these activities continues to be distributed to the state general fund, local municipalities, and the Arkansas Racing Commission for the Purse and Awards Fund.