FanDuel Predicts Goes Live in All 50 States, Sports Contracts in 18

FanDuel Predicts is now live in all 50 U.S. states, finishing a phased rollout that began in late December with just five markets.

The platform offers financial event contracts to users nationwide, covering S&P 500 movements, Fed rate decisions, and GDP figures. Sports event contracts are available in 18 states where traditional online sports betting remains illegal, including California, Texas, Florida, and Georgia.

FanDuel partnered with CME Group, one of the world's largest derivatives exchanges, to run the platform under federal Commodity Futures Trading Commission oversight. That structure lets FanDuel sidestep state gambling regulations by treating sports contracts as financial instruments rather than wagers.

"We're giving our customers a new platform to engage with the world around them," said James Cooper, SVP of flywheel and new ventures at FanDuel, when he announced the December launch.

The expansion puts FanDuel in direct competition with DraftKings Predictions, which launched in 38 states on December 19. Both platforms now go up against Kalshi, Polymarket, and newer entrants like Robinhood and Coinbase in a prediction market sector that analysts at Eilers & Krejcik project could hit $1 trillion in annual trading volume by 2030.

Flutter Entertainment, FanDuel's parent company, expects $40 million to $50 million in incremental Q4 EBITDA costs from the launch. CME Group takes 50% of gross revenue but carries none of the operational expenses.

The prediction market push has created friction with state regulators. Nevada, New Jersey, and Maryland have moved to block sports event contracts, arguing they amount to unlicensed gambling. FanDuel and DraftKings have filed lawsuits challenging those enforcement actions, setting up what Wall Street analysts expect to be a Supreme Court showdown by mid-2026.

In states where online sports betting becomes legal, FanDuel Predicts will stop offering sports contracts and send users to its licensed sportsbook.