Updated
Updated · CNBC · Aug 7
Flutter Shifts FanDuel Predicts to Crypto.com as DraftKings Sees $11 Billion Prediction Volume
Updated
Updated · CNBC · Aug 7

Flutter Shifts FanDuel Predicts to Crypto.com as DraftKings Sees $11 Billion Prediction Volume

1 articles · Updated · CNBC · Aug 7

Summary

  • Flutter said it will move FanDuel Predicts sports and novelty contracts from CME to Crypto.com, aiming to roll out products faster before the NFL season; CME will still handle financial market contracts.
  • DraftKings used earnings to show how quickly the category is scaling: its predictions platform reached 600,000 users, and annualized volume jumped to $11 billion from $2.3 billion between April and July.
  • The growth is drawing more entrants and investment. Robinhood said event-contract revenue hit $156 million, while Coinbase said annualized prediction-markets revenue topped $100 million in the second quarter.
  • Regulation remains a key constraint, with Kalshi and Polymarket facing state scrutiny and more than 40 attorneys general challenging the CFTC's claim to exclusive oversight of sports event contracts.
  • For Flutter, the push is also strategic: Peter Jackson said FanDuel Predicts can help acquire customers in states before sports betting is legalized, even as Flutter and DraftKings both posted mixed quarterly results.

Insights

With states like Minnesota banning prediction markets, how will platforms survive the looming legal war against federal regulators?
Despite billions in trading volume, why did major prediction market platforms still miss their recent earnings expectations?
As institutional traders flood prediction markets, will everyday retail bettors be priced out of this booming financial ecosystem?