DraftKings has registered a new entity, ‘DraftKings Predict’, with the National Futures Association (NFA), signaling its potential entry into the growing prediction markets sector.
The registration, which was officially filed under the name Gus II LLC on July 30, 2024, lists DraftKings’ headquarters and telephone number, further tying the project to the sports betting giant, as reported by The Closing Line.
Paul Liberman, DraftKings’ co-founder, is named CEO of DraftKings Predict, while Jason Robins, the company’s CEO, is listed as an indirect owner.
DraftKings’ move comes as prediction markets—platforms allowing users to bet on the outcome of future events—gain traction amid shifting regulatory policies.
The Commodity Futures Trading Commission (CFTC), which regulates derivatives markets, has traditionally been skeptical of prediction markets, particularly those involving political betting and sports event contracts. However, Brian Quintenz, a former board member of prediction market Kalshi, now leads the CFTC, sparking speculation that the agency may take a more lenient approach.
DraftKings has not formally announced its plans for DraftKings Predict, but CEO Jason Robins has expressed strong interest in the space.
“It’s certainly something that we have keen interest in seeing how it plays out,” Robins said during the company’s latest earnings call.
“So, I think there’s some, in the next couple of months, 60 days or so, there’s going to be a CFTC ruling and all sorts of other things, so I think we’ll know a lot more over the next few months,” he added.
Despite growing industry enthusiasm, legal uncertainty remains.
The CFTC is preparing to hold a public hearing on sports-related event contracts, aiming to assess the regulatory framework and legal risks of prediction markets.
In a sign of potential resistance, the Nevada Gaming Control Board (NGCB) recently issued a cease-and-desist letter to Kalshi, challenging the legality of event-based contracts. Analysts say the decision could influence how other regulators approach the issue.
If the federal regulatory structure allows prediction markets, DraftKings and other operators could bypass state-level gambling laws and offer bets nationwide.
DraftKings’ NFA registration remains pending, with the CFTC’s upcoming decision likely to determine the company’s next steps.
Original article: https://www.yogonet.com/international/news/2025/03/12/97928-draftkings-registers-draftkings-predict-as-it-eyes-entry-into-prediction-markets
