DraftKings said it has launched a standalone predictions app, formally entering federally regulated prediction markets under oversight from the US Commodity Futures Trading Commission. The product, DraftKings Predictions, allows eligible users to trade event contracts tied to real-world outcomes, including sports and financial markets. The app operates separately from DraftKings’ core sportsbook offering.
By operating under federal commodities rules, DraftKings can offer event-based contracts in states where online sports betting remains prohibited, including California and Texas. Company executives have previously described prediction markets as a way to expand reach without altering state gaming laws or replacing existing sportsbook operations.
The launch places DraftKings in more direct competition with platforms such as Kalshi and Polymarket, which have seen rapid growth in sports-related trading volumes. DraftKings said trades will initially route through CME Group infrastructure, with plans to expand liquidity and offerings. The move underscores rising institutional interest in prediction markets as a regulated alternative to traditional wagering.
