DraftKings rolls out prediction markets in 38 states

• DraftKings rolls out its prediction markets in 38 states
• Sports event contracts are only available in select states
• This comes at a time when sports betting rivals have already introduced their prediction platforms this month

DraftKings has become the latest mainstream sports betting company to take a bold step into the prediction markets space, ahead of the festivities, with the company launching the eponymous DraftKings predictions platform.

DraftKings launches federally-regulated betting markets

Fully licensed by the US Commodity Futures Trading Commission (CFTC), the platform is forging ahead in 38 states, as confirmed by DraftKings, but the company is not going to offer sports betting contracts in all jurisdictions.

The company has described its new product in a press statement as follows: "DraftKings Predictions is a new standalone mobile app and web product that allows eligible customers to trade on real-world outcomes across a wide range of markets, with sports and finance available initially, and additional categories such as entertainment and culture expected as the offering expands."

The launch of DraftKings Predictions comes at a fraught moment for the industry, and at a historic high interest in these platforms. Coinbase, Kalshi, and Robinhood, as well as Polymarket, are pushing hard into the space.

Rivals in the sports betting space, such as Fanatics Betting and Gaming and FanDuel, as well as Underdog, have all launched their prediction markets, breaking ranks with the American Gaming Association, and forging ahead in the controversial but resurgent space.

DraftKings, Fanatics, and FanDuel all quit the trade group over their disagreement with the body’s stance on prediction markets.

In the meantime, Coinbase and Kalshi have been suing states that try to limit the offer of sports event contracts, arguing that they should be subject to regulation by the CFTC, and not state gaming laws.

Sports event contracts in DraftKings’ case will only be available in specific states, the company said in the press release, confirming such launches in Georgia, Texas, California, and Florida.

DraftKings shares plans about cross-exchange synergies

DraftKings is also planning to connect to multiple exchanges, including the CME Group, offering users a large selection of options, such as economic indicators and global benchmarks.

Among the planned launches is Railbird Exchange, LLC, a wholly-owned subsidiary of Railbird Technologies, which DraftKings acquired.

DraftKings has also committed its Responsible Gaming best practices to its event contracts platform, ensuring that consumers understand how contracts work and engage with these products responsibly and sustainably.

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