FanDuel Predicts is expanding its event contract offering through a partnership with Crypto.com’s OG Prediction Markets, adding more sports, entertainment and combination contracts to its platform as the World Cup continues.
FanDuel announced that customers will begin seeing contracts listed through both CME Group and Crypto.com’s Commodity Futures Trading Commission-regulated exchange and clearinghouse this week. The deal marks the first major expansion of FanDuel Predicts since the platform launched last year.
It broadens FanDuel’s prediction market offering while giving users access to a wider range of sports and entertainment contracts. The company also said the partnership will deepen its slate of combination contracts that allow users to combine multiple event outcomes into a single trade.
“FanDuel Predicts was built to deliver a best-in-class prediction market experience to our customers,” said James Cooper, Senior VP, Flywheel and New Ventures at FanDuel. “These additional product sets give our customers more choices by expanding the breadth of sports and entertainment contracts on our platform.”
FanDuel adds 2nd exchange provider
FanDuel Predicts launched last December through a joint venture between FanDuel Group and CME Group. The platform offers trading on financial markets nationwide, with sports event contracts are available in states where FanDuel does not operate a regulated sportsbook.
The addition of Crypto.com’s OG Prediction Markets creates a second source of event contract inventory for the platform. FanDuel said the new contracts will complement its existing CME Group offering rather than replace it.
Crypto.com launched OG Prediction Markets in February after expanding into the prediction market sector through its federally regulated exchange infrastructure. The company has since become a contract provider for several gaming operators entering the space.
“We are thrilled to partner with FanDuel Predicts to bring a new level of depth and experience to its prediction markets experience,” Crypto.com Chief Business Officer Joe Anzures said in a release.
FanDuel joins growing Crypto.com network
DraftKings, Fanatics and Underdog have also launched prediction market products tied to Crypto.com-listed contracts. Fanatics and DraftKings recently introduced parlay-style combination products using Crypto.com inventory.
The partnership comes as gaming companies continue experimenting with different approaches to prediction markets. FanDuel now offers contracts originating from multiple exchanges, while rival DraftKings has said it plans to begin transitioning activity onto its recently acquired Railbird exchange, which is expected to power the company’s proprietary DKeX platform.
For now, both companies continue to rely heavily on third-party exchanges to supply contract inventory.
Legal questions remain
The expansion arrives as prediction market operators continue to face legal and regulatory scrutiny over sports event contracts.
Several states have challenged the legality of sports prediction markets, arguing the products violate state gambling laws. Operators have countered that the contracts fall under federal oversight through the CFTC.
Despite the ongoing disputes, operators continue to expand their offerings and pursue new partnerships as competition in the prediction market sector intensifies.
