FanDuel Predicts Goes Live in Five States, More Coming Soon
The betting behemoth and CME Group's prediction market platform, FanDuel Predicts, made its debut in five states on Monday.
FanDuel Forecasts
FanDuel anticipates that it will be made available in Alabama, Alaska, South Carolina, North Dakota, and South Dakota—the five states that forbid internet sports betting—as part of "a phased national rollout." The event contracts mobile application will continue to deploy in additional states in the coming weeks and throughout the following year, according to a statement from CME Group.
"This launch in five states will provide valuable insights into customer engagement with this new platform, enabling us to refine our approach as we expand to additional states in 2026,” said FanDuel Vice President James Cooper in the statement.
In August, CME Group and FanDuel, a division of Flutter Entertainment, announced their collaboration.
FanDuel Forecasts a Sort of Emphasis on Financial Contracts
Because FanDuel Predicts is concentrating on much more than just sports event contracts, it may prove to be well-timed at a time when industry experts are examining prediction markets' development prospects outside of the realm of contentious sports derivatives.
FanDuel Predicts will use CME's industry experience to offer event contracts on commodity and cryptocurrency prices, economic data releases, and equities indexes in all 50 states. Only in states—not tribal territories, where such wagering is illegal—will the platform offer sports derivatives. This suggests that FanDuel Predicts may ultimately offer sports derivatives in areas including California, Florida, Georgia, and Texas, much like rival products.
According to CME, FanDuel Predicts will stop providing sports event contracts in any new states that join the sports wagering party. Given that Arizona revoked Underdog's fantasy sports license in response to the company's foray into prediction markets, that was probably a wise decision.
FanDuel is a Reputable Rival in the Prediction Market
FanDuel is the biggest online sports betting operator in the United States and ranks first or second in terms of market share in each of the 23 states where it provides its services. According to the company, it has over 12 million players and one of the most valuable brands in the gaming industry. These characteristics may portend success in the fiercely competitive prediction markets sector.
In recent weeks, it's scarcely a day has passed without a fintech or gaming business entering the event contracts space, so FanDuel and CME will want those resources.
Although the number of competitors is certainly increasing, some analysts expect that DraftKings, FanDuel, Kalshi, Polymarket, and Robinhood Markets will eventually overtake one another as the five main competitors in the domestic prediction market market.
