A Little Perspective on “Rake”
There has been some concern about the rake in the Daily Fantasy Sports industry and I just wanted to bring light to some of the ways you can minimize rake on DraftStreet. First, if you haven’t signed up already, all new users get an automatic deposit bonus of 20%. But if you sign up through any of the links in this article you will automatically get our best bonus, a the RotoGrinders 40% deposit bonus up to $150.
Bonus money releases at 20% of the buy-in, so for example, when you play in a $22 league $4.40 will release into your main account. You could look at it this way: you get your first 75 $22 leagues rake-free, or your first 300 $5 leagues rake-free.. That is a lot of play before you ever pay a dime. 1
Street Creds – Some of the DraftStreet gear is really solid. The hoodies are very nice and the pens are a great deal for 500 creds, but Street Creds can now be used to purchase cash-league vouchers. Street Creds are a legitimate form of frequent player points and is essentially a form of rakeback. Every time you play an $11 league you earn 50 street creds. The $5 voucher costs 6,000 creds, but if you save up you can buy the $22 voucher for 22,000 or the $55 voucher for only 50,000. The creds become more valuable the more you play. Let’s assume you want only $22 vouchers making 1,000 creds = $1. Then you are getting 5% rakeback on every cash league you ever play, so when you go to calculate the rake on DraftStreet you really need to factor this in. For an $11 league, the true rake is 8.63% ($0.95/$11) and over time this is significantly less than the perceived standard 10%. If you are a serious player, the $215 leagues are the best deal with a true rake of 6.63% ($14.25/$215).
At DraftStreet, we acknowledge that a 10% rake might make it tough for players to be profitable, but we do have players who are consistently winning. In an ideal world, the rake would be a bit lower and lowering the rake will never be off the table as an option. But for now, the bonus money, street creds and other ways to make money(blogging on RotoGrinders) aside from winning cash leagues on DraftStreet are significant ways to lower the cost of playing.
1 – Editor’s Note: Click the red box above to get the equivalent of up to 300 rake-free games when you first Sign Up for DraftStreet. Another great way to defeat the rake is to get $50 Free every month from DraftStreet for blogging with RotoGrinders. Just read the DraftStreet Free $50 Blog Promo Rules and Regulations for more details.