DraftKings’ road to towards clearing out the massive legal fallout of its short-lived venture in the world of non-fungible tokens (NFTs) hit a major snag this week when a GOP politician hit the brakes on a potential $10 million settlement with the state. Earlier this week state Republican National Committeeman Brad Wyatt filed a formal objection to the state’s proposed settlement with DraftKings over the lawsuit’s proposed settlement.
Wyatt’s actions in the case, it should be noted, are not a part of his duties as a politician and lawmaker. The Massachusetts politician is acting as a private citizen who was himself the largest holder of DraftKings’ NFTs in the entire state. His beef with the proposed settlement is the inclusion of the amount plaintiffs won in Reignmaker fantasy contests in the formula for payouts. Wyatt says this data point is irrelevant because the lawsuit is really about whether or not DraftKings broke the law by offering securities and commodities without the proper authority to do so.
“Including these prize receipts does not offset the economic harm suffered by class members as the proposed settlement regarding the purchase and sale of NFT securities on DraftKings Marketplace is unrelated to potential realized or unrealized prize receipts from playing in DraftKings fantasy sport skill-based contests,” he wrote in his objection.
“I’m not looking for a larger settlement from Draftkings. Rather, I’m hoping that that the plan of allocation be more evenly distributed among all the players based on Marketplace purchases/sales, and not take into consideration the skill based utilization of the NFT’s in Reignmaker fantasy contest prizes,” he further explained to SBC Americas.
The matter is now back in the hands of a judge who will render his final judgement sometime in the near future.