Reporters wield an incredible amount of power in the betting space, and that’s never more evident than draft season when odds move with every minor update from major insiders.
It’s becoming somewhat of an annual tradition in every sport, but Thursday was the NBA’s turn, and after ESPN’s Adrian Wojnarowski seemingly moved odds in favor of the wrong player at the top of last year’s draft, The Athletic’s Shams Charania appeared to do it this year with the No. 2 pick.
However, this time around, there’s a glaring issue with Charania’s use of that power that can’t be ignored. In addition to The Athletic and Stadium, Charania is also employed by FanDuel. That’s right. One of the preeminent U.S. sportsbooks, which has everything to gain from uncertainty in a betting market, pays someone who can create that uncertainty with a single tweet.
And on Thursday, Charania did just that.
Sources: Scoot Henderson is gaining serious momentum at No. 2 with the Charlotte Hornets in tonight’s NBA draft. Hornets have been torn over the last week between Henderson and Brandon Miller. Team has final meetings today to settle on decision.
— Shams Charania (@ShamsCharania) June 22, 2023
To be clear, this isn’t an accusation of anything nefarious on the part of Charania, who is a respected voice in NBA circles and has certainly reported bad intel before. Only a statement of fact about the clear conflict of interest that exists in his work relationship. FanDuel wasn’t the only book to shift the market on the No. 2 pick after Charania’s tweet, but it is the one that employs him.
For weeks, Brandon Miller had been favored as the No. 2 pick, and Wojnarowski all but confirmed the selection Tuesday, saying Miller “solidified his standing as Charlotte’s choice.” But on the day of the draft, Charania re-ignited the conversation with a report that Henderson was “gaining momentum,” which sent the eventual No. 3 pick’s odds to go second overall through the roof. This is a problem.
As the NFL makes every effort possible to enforce and bring clarity to its gambling policy to at least create the perception of integrity within its ranks, Charania’s tweet did the opposite for FanDuel. Here was some of the reaction on Twitter:
I’m sure I’m just over-reading the situation, but it is a bit uncomfy that Shams is in bed with FanDuel and completely moved the market on the No. 2 pick just for it to still be Miller
Just me? https://t.co/AplSNmf6nb
— GriffyBets (@griffybets) June 23, 2023
it's kind of insane that Shams gets paid by Fanduel to do promo for them in between tweeting out stuff like this that doesn't actually say much but helps shift the odds and get more bets placed https://t.co/n4T0boapDH
— sreekar (@sreekyshooter) June 22, 2023
So this is interesting.
-Shams (who works for FanDuel) reports this earlier today
-Odds on Scott Henderson going #2 change dramatically (one tweet I saw said it went from +370 to -370)
-Hornets take Brandon Miller insteadThis is where I feel squeamish about sports betting. https://t.co/BE49P7FpuM
— Jimmy Sullivan (@JimmySullivanBC) June 23, 2023
There are more where those came from.
The other side of this is the obvious point that Charania didn’t really make a definitive statement one way or another, which left bettors to do what they should be doing anyway — using all the information at their disposal to make the best judgment possible. But that also raises questions about why Charania would tweet anything at all if it wasn’t concrete. The answer: Other “insider” reporters on the NBA and other pro sports don’t work for prominent sportsbooks.
Interesting topic. It's definitely not "blatant fraud"…but it is a reminder not to overreact and also to take things literally
As I texted a friend earlier…"both can be true". Scoot can be making the decision difficult and Woj/Giv mocks are still accurate with Miller at #2 https://t.co/WmAFaLYtE8
— Doug Kezirian (@DougESPN) June 23, 2023
This is also why some lose on Drafts. They pounce on every little tweet and end up dumping money unnecessarily.
The accusation is pretty severe. Someone like Shams who's invested years to build his trust and credibility is not going to dupe followers just to sway odds, IMO
— Doug Kezirian (@DougESPN) June 23, 2023
So, are people reading too much into this situation? Maybe. But it doesn’t take much reading to see how market manipulation by insiders could be a major problem at some point in the future.
As more reporters inevitably get into bed with sportsbooks, it’s something bettors should keep in mind.
