FanDuel Predicts took a significant step forward on Wednesday when it gave 13 more states access to its sports predictions product.
FanDuel is now live with sports prediction markets in 18 states after initially launching in just five a few days before Christmas. The expansion rolls out FanDuel Predicts to much larger customer bases in California, Florida and Texas where sports betting is not legal or is severely limited.
Those three states alone count for more than 90 million people, or more than 25% of the US population. The five initial FanDuel Predicts states – Alabama, Alaska, North Dakota, South Carolina, and South Dakota – have a combined population of under 15 million.
While the app is only in certain states right now, its corporate website said FanDuel Predicts is “coming soon nationwide.”
What new states can use FanDuel Predicts?
Along with the big three of California, Florida and Texas, there are 10 more states where FanDuel Predicts is now live:
- Delaware
- Georgia
- Hawaii
- Idaho
- Minnesota
- Nebraska
- New Mexico
- Oklahoma
- Rhode Island
- Utah
Delaware, Florida and Rhode Island are notable entries as those states already have legal online sports betting. All three operate under a monopoly with BetRivers in Delaware, Hard Rock Bet through the Seminole Indians in Florida and an IGT-powered sportsbook in Rhode Island.
Fanatics Markets was the first sports betting brand to launch sports predictions and is also available in those three states. DraftKings Predictions, which launched a few days before FanDuel Predicts, is not available in Delaware but is live in Florida and Rhode Island.
Sports predictions in the headlines
Sports predictions are legal and registered with the Commodity Futures Trading Commission, but whether those kind of event contracts should be allowed is the biggest question that may not get answered for years.
Multiple operators, typically Kalshi, have sued every state that has threatened to shut them down or sent a cease-and-desist. State gaming regulators seem to agree across the board that trading sports predictions is essentially sports betting, leaving prediction markets to operate without the same required gambling protections and tax payments as licensed sportsbooks.
Recently appointed CFTC Chairman Michael Selig plans to leave the issue up to the courts and said he expects the issue to be decided by the Supreme Court. Some estimates have suggested a decision could be three years away.
Two trade groups are trying to prevent that delay. The American Gaming Association and Indian Gaming Association jointly wrote to Congress suggesting that “inaction” by the CFTC has led to the proliferation of sports predictions. They requested Congress to ban them through upcoming crypto market structure legislation this year.
