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The fantasy sports business is creating a 'self-regulation' agency

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Daily fantasy sports sites have been facing intense scrutiny recently over their business practices, but they claim to be taking some steps in response: the trade organization representing more than 300 companies in the industry today said it is forming a control board to implement a "system of self-regulation."

The Fantasy Sports Trade Association has appointed former acting Secretary of Labor Seth D. Harris to set the standards for the new Fantasy Sports Control Agency, which will be responsible for auditing companies and enforcing rules. "The issues and opportunities facing the fantasy sports industry can be best addressed through an independent agency supported by the industry and its members," Harris said in a statement from the association.

But whether government regulators agree with the idea remains to be seen. While sites like DraftKings or FanDuel have argued that their business models don't involve gambling, some regulators haven't made the same distinction. Earlier this month, Nevada banned the sites, saying they are gambling and must be regulated as such.