DraftKings is a daily fantasy sports platform where you pick real players to build teams and compete against other users for cash prizes

DraftKings is an online service that lets you create fantasy sports lineups using real professional athletes. You pick players within a salary cap, submit your lineup before games start, and earn points based on how those players perform in actual games that day or week. You compete against other users, and the people with the highest-scoring lineups win cash prizes.

The main difference between DraftKings and traditional season-long fantasy leagues is timing. DraftKings contests last a single day or a few days — not an entire season. You can enter a new contest every day, and each contest is separate. You do not carry players or standings forward from one contest to the next.

DraftKings operates in most U.S. states and some Canadian provinces, though a few states prohibit it. The service is free to download and use, but you pay an entry fee to join contests, and that fee goes into the prize pool that winners split.

Key Takeaways

  • DraftKings contests run daily and last one day to one week, so you build a new team for each contest rather than managing one team all season.
  • You pick players within a salary cap limit, and your score comes from real statistics those players earn in actual games.
  • Entry fees range from under a dollar to hundreds of dollars depending on the contest, and the total fees from all entrants make up the prize pool.
  • DraftKings covers NFL, NBA, MLB, NHL, golf, soccer, and other sports, with different scoring rules for each.
  • You must be at least 18 years old and located in a state where DraftKings operates to create an account.

How the scoring and salary cap work

Each sport has its own scoring system. In NFL contests, a quarterback might earn one point per passing yard and four points per passing touchdown. A running back earns points for rushing yards, receiving yards, and touchdowns. The exact point values change between contests, so you see the scoring rules before you build your lineup.

Every player has a salary listed in dollars — for example, Patrick Mahomes might cost $8,500 while a backup quarterback costs $4,000. You have a total salary cap (usually $50,000) and must build a lineup that stays under that cap. This forces you to balance star players with cheaper options, since you cannot fill your entire roster with the highest-paid athletes.

Your score is the sum of points all your players earn. If your lineup scores 150 points and another user's lineup scores 145 points, you beat them in that contest. The number of lineups that cash (earn money back) depends on the contest size — a 100-person contest might pay the top 20 finishers, while a 10,000-person contest pays the top 1,000.

Types of contests and entry fees

DraftKings offers several contest formats. A cash game is the simplest: you enter against a small group of users, and the top half of finishers double their money while the bottom half lose their entry fee. A tournament is larger and pays only the top finishers — you might enter with 5,000 other people and only the top 500 win anything. A head-to-head contest is you against one other person, and the higher score wins.

Entry fees start under one dollar for small contests and go up to several hundred dollars for large tournaments with big prize pools. A $1 entry fee might have a $100 prize pool, while a $50 entry fee might have a $50,000 pool. You can enter the same contest multiple times with different lineups if you want to pay multiple entry fees.

DraftKings also runs season-long leagues where you draft players once and keep them for an entire season, similar to traditional fantasy sports. These cost a one-time league fee rather than per-contest fees.

Which sports DraftKings covers

The main sports are NFL, NBA, MLB, and NHL. During football season, DraftKings runs contests for every NFL game. During basketball season, you can build NBA lineups daily. Baseball and hockey work the same way during their seasons.

DraftKings also offers golf, soccer, tennis, esports, and mixed martial arts contests, though these are less common than the major four sports. The sports available change with the season — you will see NFL contests from September through January, NBA from October through June, and so on.

Account setup and location restrictions

You must be at least 18 years old to create a DraftKings account. You also must be physically located in a state where DraftKings operates. Most states allow it, but Arizona, Iowa, Louisiana, Montana, Nevada, and a few others do not. If you live in a restricted state, you cannot create an account or deposit money, even if you travel to another state.

To sign up, you provide your name, email, date of birth, and address. DraftKings verifies your location using your device's GPS or IP address. You then link a payment method — a debit card, credit card, or bank account — to deposit money into your DraftKings account. That money sits in your account and is deducted when you enter contests.

If you win money, DraftKings holds your winnings in your account. You can withdraw them to your original payment method, though withdrawal times vary by bank.

How DraftKings makes money

DraftKings takes a percentage of entry fees from every contest. If a contest has $10,000 in total entry fees and DraftKings takes 10 percent, the prize pool is $9,000 and DraftKings keeps $1,000. The exact percentage varies by contest type — cash games usually have lower fees than tournaments.

This is how DraftKings stays in business. Users pay to enter, DraftKings takes a cut, and the rest goes to winners. Unlike a sportsbook, DraftKings does not bet against you or care who wins — it makes money the same way regardless of the outcome.

Differences from traditional fantasy sports

In a season-long fantasy league, you draft once in September, keep your players all year, and compete against the same group of people every week. In DraftKings, you build a new team for every contest, and you compete against different people each time. You can enter as many or as few contests as you want.

Season-long leagues usually cost one league fee upfront. DraftKings contests charge per entry, so your total cost depends on how many contests you enter. You could spend $5 on one contest or $500 on ten contests in a single week.

DraftKings also moves faster — you see results the same day or next day instead of waiting a week. This appeals to people who want quicker feedback and more frequent contests.

Frequently Asked Questions

Can I use DraftKings on my phone?

Yes. DraftKings has apps for iPhone and Android. You can build lineups, enter contests, and check scores entirely on your phone. The app works the same way as the website.

What happens if a player gets injured before the game starts?

If a player is ruled out before game time, DraftKings usually voids that player from your lineup and replaces him with zero points. Some contests have different rules, so check the contest details before you submit. You keep the salary cap space that player was using.

Is DraftKings the same as sports betting?

No. DraftKings also runs a sportsbook where you bet on game outcomes, but that is separate from daily fantasy sports. Daily fantasy is about building a team and scoring points based on player performance. Sports betting is about predicting who wins or loses a game.

Can I make money consistently on DraftKings?

Some people do, but most users lose money over time. DraftKings takes a percentage of every contest, so you need to beat enough opponents to cover that fee and still profit. This is harder than it sounds, especially against experienced players.

What is the minimum deposit?

DraftKings does not have a set minimum deposit, but most contests have entry fees of at least $0.25. You can deposit as little as a few dollars and enter low-cost contests, though larger deposits give you more flexibility to enter different contests.