FanDuel to launch predictions app where sports betting is illegal
The sports entertainment giant FanDuel, owned by the Irish group Flutter Entertainment, unveiled its new platform FanDuel Predicts, scheduled to launch in December 2025.
The app will allow users to buy and sell event contracts based on the outcomes of sports competitions and economic indicators, in a modality known as prediction markets.
According to the company, the app will be available only in states where online sports betting is not yet legal, and will exclude tribal territories. As more states approve sports betting legislation, FanDuel will withdraw prediction operations in those territories to avoid regulatory overlaps.
Users will be able to trade contracts linked to baseball, basketball, American football, and hockey events, as well as stock indices (S&P 500, Nasdaq-100), commodities such as oil, gold, and gas, cryptocurrencies, and macroeconomic references such as GDP or the Consumer Price Index (CPI).
“We can’t wait to bring FanDuel’s innovative spirit to this dynamic sector. Our partnership with CME Group allows us to combine their expertise in financial markets with the accessibility and smooth experience our users expect,” said Amy Howe, CEO of FanDuel.
For his part, Terry Duffy, chairman and CEO of CME Group, highlighted that the alliance opens the doors to a new generation of participants:
“These event contracts, based on economic benchmarks and now also on sports, will attract users who have never participated in this type of market. This collaboration will significantly expand our reach by connecting with millions of active FanDuel users in the United States.”
Prediction markets: the new frontier of iGaming
FanDuel’s announcement adds to a growing trend in the U.S. gaming and digital finance industry, where prediction markets are emerging as a new hybrid category between speculative investment and regulated betting.
In recent weeks, several companies in the sector have taken similar steps:
- PrizePicks, a daily fantasy sports operator, signed a multi-year alliance with Polymarket to launch its own line of prediction contracts.
- Trump Media & Technology Group, parent company of Truth Social, announced a collaboration with Crypto.com to integrate prediction markets into its platform.
- DraftKings completed the acquisition of Railbird Technologies and its subsidiary Railbird Exchange, aiming to officially enter this emerging segment.
According to Bloomberg Intelligence, prediction markets could exceed USD 10 billion in annual global volume by 2030, driven by tokenization, advances in AI, and growing demand for microinvestment instruments based on real-time information.
Regulatory and competitive impact
The development of this type of platform poses new regulatory challenges in the United States, where the Commodity Futures Trading Commission (CFTC) is still debating the boundaries between betting and financial derivatives.
In 2023, the CFTC experimentally authorized event contracts in economic markets but maintains a restrictive policy regarding their application to sports or political events.
FanDuel and CME Group maintain that the launch will be carried out under a compliance framework adapted to current regulations, strengthening age verification controls, transparency, and exposure limits.
According to Morgan Stanley, FanDuel’s foray into this field not only diversifies its business beyond sports betting but also opens a new growth avenue in states where iGaming regulation is still underway.
Tags: USA, Fanduel, predictive markets, FanDuel Predicts, predictive markets platform