Following their alliance announced back in August followed by a statement that a launch of sports Event Contracts trading was coming in December, online gaming company FanDuel (NYSE:FLUT) and derivatives markets operator CME Group (NASDAQ:CME) have announced the launch of FanDuel Predicts. The FanDuel Predicts app is initially going live in five US states – Alabama, Alaska, South Carolina, North Dakota and South Dakota – beginning a phased national rollout over the coming weeks.

FanDuel Predicts will expand access to financial and sports markets for millions of U.S. customers over the coming months.

Prediction Markets competition

The new offering will bring CME and FanDuel into competition with Kalshi, off of which Robinhood has based its event contracts “Prediction Markets” offering, which apparently has gotten off to a good start. And it looks like CME competitor Cboe is also getting into the Prediction Markets business, recently hiring former tastytrade President JJ Kinahan, to oversee new alternative investment products for retail customers, including event-based trading. FanDuel’s traditional gaming competitors are also expanding into Prediction Markets, such as DraftKings.

FanDuel Predicts rollout

FanDuel Predicts will provide customers with a platform to express their views on the day’s biggest stories across financial indicators, cultural moments and sports. This new mobile application will be available in the Apple App Store and Google Play and will integrate FanDuel’s “Know Your Customer” sign-up process, requiring customers to submit their birth date, Social Security number, home address, banking information and a government-issued ID. Once the Predicts account is created, customers can buy or sell event contracts ranging in price from $0.01 to $0.99 by choosing “Yes” if they think an event will happen, or “No” if they don’t.

The platform will offer event contracts in all 50 states on benchmarks such as the S&P 500 and Nasdaq-100, prices of oil and gas, gold, cryptocurrencies, and key economic indicators such as GDP and CPI. In addition to financial markets, sports contracts will be available across baseball, basketball, football, and hockey in states where online sports betting is not yet legal, except on tribal lands. As new states legalize online sports betting, FanDuel Predicts will cease offering sports event contracts in those states.

James Cooper, Senior Vice President, Flywheel and New Ventures at FanDuel said,

“We’re giving our customers a new platform to engage with the world around them – whether that’s the next Fed rate decision or a sports event. This launch in five states will provide valuable insights into customer engagement with this new platform, enabling us to refine our approach as we expand to additional states in 2026.”

Lynne Fitzpatrick, President and Chief Financial Officer, CME Group said,

“CME Group prediction markets will enable a new generation of users to express their views on global benchmarks, economic indicators, sports and more. This launch is a pivotal step for expanding the reach of our products to FanDuel’s millions of registered users across the U.S.”

The rollout of FanDuel Predicts will continue to other states through early 2026.

FanDuel said it will extend its commitment to consumer protection to the FanDuel Predicts app. At launch, customers will be able to set deposit limits, deposit alerts or self-exclude if needed with mental health services provided by Kindbridge Behavior Health.

About FanDuel

FanDuel Group is America’s premier mobile gaming company, consisting of a portfolio of leading brands across mobile wagering including America’s #1 Sportsbook FanDuel Sportsbook, its leading iGaming platform FanDuel Casino, the industry leader in horseracing and advance-deposit wagering FanDuel Racing, and its daily fantasy sports product. In addition, FanDuel Group operates FanDuel TV, its broadly distributed linear cable television network, and FanDuel TV+, its leading direct-to-consumer OTT platform. FanDuel Group has a presence across all 50 states with approximately 17 million customers and 25 retail locations. The company is based in New York with offices in Los Angeles, Atlanta, and Jersey City.

About CME Group

As the world’s leading derivatives marketplace, CME Group enables clients to trade futures, options, cash and OTC markets, optimize portfolios, and analyze data – empowering market participants worldwide to efficiently manage risk and capture opportunities. CME Group exchanges offer the widest range of global benchmark products across all major asset classes based on interest rates, equity indexes, foreign exchange, cryptocurrencies, energy, agricultural products and metals. The company offers futures and options on futures trading through the CME Globex platform, fixed income trading via BrokerTec and foreign exchange trading on the EBS platform. In addition, it operates one of the world’s leading central counterparty clearing providers, CME Clearing.