FantasyUp Ceases Operations and Unable to Pay Players

Daily fantasy sports operator FantasyUp has closed up shop following difficulties with paying its players. The company was established by Dan Ziernicki, who invested his $3.5 million win at FanDuel to create a competitor DFS site in 2014. Players received an email notification from FantasyUp stating: For the past few years, FantasyUp has been providing daily fantasy sports (DFS) contests with industry leading promotions. The Company essentially paid players to play on its platform with the expectation that industry would continue to expand and a financing deal would allow for us to further our growth within the industry. Such a deal presented itself to FantasyUp months ago, before being delayed for investor personal issues. Over the following weeks, the industry saw numerous legal issues arise, increasing the cost of doing business and the decreasing the ability to raise funds. FantasyUp no longer has the capital to fund even minimal operations. The owners and investors in FantasyUp continued to fund the business while waiting for the financing deal, but after numerous conversations with advisors, experts, and past/potential investors, the Members of the LLC have concluded that they have no choice but to shut down the business and dissolve. As of January 14th, 2016, the Company has ceased operations and legally dissolved the business. Our sincere apologies that we cannot process withdrawals, as the Company does not have the funds needed to process the withdrawals to all customers. It was our privilege to serve you for the past few years. Kind Regards, The FantasyUp Team Perhaps the site's rake free promotion business model during the NFL season contributed to its downfall. Issues surrounding the legality of DFS in the US have also made it difficult to operate and the lack of protection provided by regulation of the industry may leave players out in the cold when it comes to receiving payouts.