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Paddy Power was established in 1988 as an Irish sports betting firm while Betfair was founded in 1999 as the world’s first major exchange betting platform. The two merged in 2016 to form one of the largest online gaming operators on the planet. However, the law provides clear exemptions for online racing betting, daily fantasy sports and any other form of gambling that is legal at the state level other than sports betting. This is why the licensed casinos that have opened in New Jersey, Delaware, and other states since then are unaffected by the UIGEA.