CME Group and FanDuel to launch prediction market app in December

The app, called FanDuel Predicts, will let users trade contracts on sports events, cryptocurrencies, stocks, and other benchmark assets in the U.S., according to the official announcement. 

Pending regulatory approval, the app will allow U.S. users to trade contracts on sports events, including baseball, basketball, football, and hockey. It will also offer contracts on financial benchmarks, such as the S&P 500 and Nasdaq-100, commodities like oil, gas, and gold, major cryptocurrencies, and economic indicators like GDP and CPI.

Customers signing up for FanDuel Predicts will go through FanDuel’s standard “Know Your Customer” (KYC) process. They will need to provide personal information such as their birth date, Social Security number, home address, banking details, and a valid ID. Once approved, users can buy or sell event contracts, with prices ranging from $0.01 to $0.99.

“Our new event contracts on benchmarks, economic indicators and now sports will appeal to a new generation of potential participants who are not active in these markets today,” said CME Group Chairman & CEO Terry Duffy. “This launch will dramatically expand our distribution and reach, connecting directly with FanDuel’s millions of registered U.S. users.”

FanDuel CEO Amy Howe said the company is excited to bring its approach to product innovation to the growing prediction markets sector, noting the experience of both companies.

The prediction markets industry is currently dominated by two players: Kalshi and Polymarket. Kalshi leveraged its U.S.-regulated status to achieve market leadership in trading volume, while Polymarket is reportedly preparing to relaunch in the U.S. and may challenge that position.

These companies continue to expand by adding partners from finance, sports, and other industries. Robinhood selected Kalshi to offer event contracts on sports and policy, while Polymarket recently partnered exclusively with Yahoo Finance. 

Google and the National Hockey League (NHL) partnered with Kalshi and Polymarket. The NHL became the first U.S. sports league to sign licensing agreements with both platforms, allowing them to use official NHL logos, team names, and the Stanley Cup brand on prediction markets. Meanwhile, Google will support both Kalshi and Polymarket through Google Finance.

At the same time, new apps are entering the market. The Gemini exchange, led by the Winklevoss twins, filed regulatory documents to operate a designated contract market and plans to launch prediction market contracts. A new Web3 platform, Opinion Labs, is rumored to have connections to Binance founder CZ as competition in the space grows.