Home / Business and Economy / FanDuel Enters Prediction Markets Race
FanDuel Enters Prediction Markets Race
23 Dec
Summary
- FanDuel launches prediction markets app for sports and financial indicators.
- App initially available in five states, with national rollout planned.
- Company competes with DraftKings and prediction market startups.
FanDuel is entering the prediction markets arena with its new app, FanDuel Predicts, allowing users to wager on a variety of events including sports, cultural happenings, and financial indicators. This strategic expansion positions FanDuel to compete directly with DraftKings, which recently launched a similar product, and other established prediction market platforms.
The FanDuel Predicts app has debuted in five initial states: Alabama, Alaska, South Carolina, North Dakota, and South Dakota. This phased rollout is designed to gather crucial customer engagement data before a broader national expansion is undertaken, anticipated to commence in 2026. Beyond sports contracts, FanDuel intends to offer contracts on economic data, commodity prices, and stock indexes across all fifty states, with sports-specific contracts limited to states where online sports betting is not yet legalized.
This venture into prediction markets, regulated by the Commodity Futures Trading Commission, is seen as a way for major sports gambling companies to fend off newer, agile competitors. The growth of prediction markets offers a novel way to place wagers, with contracts priced to reflect the probability of an event occurring, providing a distinct alternative to traditional betting formats.
