Yet Another State Speaks Out Against Fantasy Sports Betting Sites

The Lone Star State may soon be an even lonelier place for those in the online fantasy sports business.

In an opinion released Tuesday, Texas Attorney General Ken Paxton determined daily fantasy sports betting sites  like FanDuel and DraftKings constitute "illegal gambling."

“Paid daily ‘fantasy sports’ operators claim they can legally operate as an unregulated house, but none of their arguments square with existing Texas law ," Paxton said in a statement. "Simply put, it is prohibited gambling in Texas if you bet on the performance of a participant in a sporting event and the house takes a cut.”

Season-long fantasy football leagues are therefore legal, since the house does not take a cut. "When play is in a private place, no person receives any economic benefit other than personal winnings," Paxton explained in his opinion, "and the risks of winning and losing are the same for all participants."

Paxton's finding echoes the opinions of attorneys general in several other states, including New York , Illinois , Minnesota  and Massachusetts , who have moved to regulate the sites, and in some cases attempted to ban them outright.

However, unlike New York, which temporarily halted the websites with an injunction, Paxton's opinion is only that -- an opinion. For the time being, and unless Texas' courts take action, the websites can continue operating.

"We strongly disagree with the Attorney General’s prediction about what the courts may or may not do if ever presented with the issue of whether daily fantasy sports are legal under Texas law," Randy Mastro, who offers legal counsel to the daily fantasy betting website DraftKings, said in a statement. "The Texas Legislature has expressly authorized games of skill, and daily fantasy sports are a game of skill."

Also on HuffPost: