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An investigator posed as a problem gambler. DraftKings made him a VIP

Online gambling has become very big business. While the Professional and Amateur Sports Protection Act once effectively banned sports betting across most of the U.S., a 2018 Supreme Court decision struck down that 1992 law, allowing states to legalize sports betting again.

And they did. A total of 38 states and Washington, D.C., now allow people to gamble on sports, and Americans have bet over $600 billion since 2018. Popular sites like DraftKings and FanDuel collected much of this money, and each site has millions of users (around 12 million and 4.8 million respectively, in 2025).

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These sites claim to have safeguards in place to address problem gambling, including betting limits and helplines. However, despite these protections, both sites are being sued for their addictive nature — and one ProPublica reporter’s experience may highlight why that’s the case.

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Here’s what the ProPublica investigation found, along with tips on how people at risk can spot a gambling problem of their own.

Problem gamblers may be pushed to bet more

Jake Pearson, a ProPublica reporter, spent weeks gambling on DraftKings with the goal of presenting himself as a problem gambler. His actions exhibited classic signs of addiction, including making large bets on a single game, jumping from sport to sport and transferring more money regularly to bet.

Pearson wanted to see what would happen, and what he found may not come as a surprise.

At first, the site seemed to be doing the responsible thing. According to the ProPublica article, after losing an impressive $4,500 in 24 hours and then depositing extra funds, Pearson received an in-app notification saying: “Take a loss? Now take a beat.” The notification directed him to the company’s “responsible gaming” center.

The problem is, even as Pearson explored tools to restrict his gaming time and limit deposit amounts, DraftKings reportedly sent him four promotional alerts. And this was part of a pattern of marketing that allegedly targeted him to gamble more when he suffered big losses.

In fact, after he lost thousands in just over a week, DraftKings offered him the chance to join the VIP program. This program offered cool perks, but he had to qualify. And he discovered he could become a VIP faster by making riskier bets. After three weeks and $5,800 in deposits, Pearson made it in.

Now, promotions and the addition of other features, like an in-app casino, meant Pearson was gambling more than ever.

While a similar attempt at FanDuel did not result in VIP status, the reporter wrote in ProPublica that he’d been left with a key takeaway applicable across the board. The “’responsible gaming’ prompts that were served to me were no match for the product design pushing me to do more gambling.”

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Understand the red flags

The ProPublica reporter’s experience shows the safeguards allegedly in place on sports betting sites may fall short, so those who enjoy wagering on sports should watch for signs that their behavior is getting out of control.

“One of the biggest red flags is when you start breaking your own rules,” Christopher DiViaio, an LCSW and clinical director at Eleve Behavioral Health, a gambling treatment center in New Jersey, told Moneywise.

DiViaio gave the example of someone who tells themselves they’ll bet just $20, but then finds an excuse to bet $100, $200, or more. “You say you’ll stop after one game, but you keep going, “ DiViaio said.

Other signs of a problem DiViaio warned about include “gambling taking up more space in your life, thinking about bets throughout the day, checking odds constantly, hiding how much you’ve spent, or feeling anxious or irritated when you can’t gamble.”

Anyone who spots those red flags should get help, and not the kind that comes from DraftKings or FanDuel. As DiViaio warned, “online sports betting is one of the primary sources of gambling that we treat today at Eleve.”

Fortunately, resources like Gamblers Anonymous are available to help people get support.

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Christy Bieber Contributing Writer

Christy Bieber is a US based personal finance and legal writer who has 15 years of experience. She has written for many publications including Forbes, Kilplinger, CNN, WSJ, Credit Karma, Insurify and more.

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