Leach’s Intro to Daily Fantasy Sports (DFS)

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This article will be the introduction to Daily Fantasy Sports (DFS). Daily fantasy football is salary cap based week to week fantasy football. NFL players are given a new salary cap each week and you use these numbers to stay under your $35,000 team cap. Each week this coming season I will post my DFS projections for Fanduel.

For everyone new to DFS the two types of contests I play are GPP and CASH games. GPP stands for Guaranteed Prize Pool. These tournaments give us a lower chance of making money, but the payouts are much much larger. Fanduel has a milli maker where the winner gets a million dollars. This is usually up to $25 entry, 150 max entries per person, 45,000+ entries, awful payout structures, and roughly 20% of entries paid out. I say awful payout structures because they are extremely top heavy and the prizes are scaled, meaning 1st place wins a lot and each place below that wins less (as opposed to a cash game where everyone wins the same amount). We want to think about CEILING and LEVERAGE in these.

The other style is CASH games. 50% of the contest is paid out near double their entry. FLOOR and OPPORTUNITY are the two keys here.

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GPP’s

Like mentioned above, “GPP stands for Guaranteed Prize Pool. These tournaments give us a lower chance of making money, but the payouts are much much larger. Fanduel has a milli maker where the winner gets a million dollars. Usually up to $25 entry, 150 max entries per person, 45,000+ entries, awful payout structures, roughly 20% of entries paid out. I say awful payout structures because they are extremely top heavy. We want to think about CEILING and LEVERAGE in these”.

  • Why CEILING?

    • There are over 45,000 entries and only 20% of that makes money. Less chance of winning money = more fantasy points needed to win money. In order to beat 80% of the field we need to hit big in our line ups and average won’t cut it.

  • Why LEVERAGE?

    • You don’t win GPP’s by picking the most popular pick at every position. Each player will be picked X amount of times out of the 45,000 entries giving us an ownership percentage for each player. The key to winning money in GPP’s is getting leverage on lower owned guys who you think will out play their ownership projection. Take more risk in these contests, it could pay off big.

CASH GAME

50% of the contest is paid out near double their entry. FLOOR and OPPORTUNITY are the two keys here.

  • Why FLOOR?

    • With 50% of the field winning in these contests, scores to win will be lower. Because scores don’t need to be as high, we don’t need to take the risk we are forced to take in GPP’s.

  • Why OPPORTUNITY?

    • When I make my rankings each week for my cash lineups I start by looking for guys who are guaranteed to get a lot of touches. Workhorse running backs, high targeted WR’s/TE’s/RB’s. Quarterbacks who are expected to get into high scoring games are types of players I look for. I don’t care about leverage or player ownership. My goal in cash games is to get the best optimal lineup.
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