DraftKings Launches CFTC Predictions App with Polymarket
DraftKings Predictions has launched after DraftKings acquired Railbird Technologies to secure a CFTC-designated contract market license. The mobile app offers regulated prediction market contracts on finance, culture and entertainment. DraftKings tapped blockchain pioneer Polymarket as its clearinghouse, using its B2B settlement system under federal oversight to verify trades and manage collateral. Polymarket, valued at around $10 billion after acquiring derivatives exchange QCEX and raising $2 billion from Intercontinental Exchange, competes with Kalshi in a market that saw record trading volumes exceeding $4.6 billion in October. Industry experts say DraftKings’s brand power could push prediction trading from DeFi niches into the mainstream and make DraftKings Predictions as accessible as stock and options trading for its 24 million users.
Bullish
DraftKings acquiring a CFTC-designated contract market license and launching DraftKings Predictions with Polymarket partnership under federal oversight legitimizes prediction markets and drives user growth. Polymarket’s enhanced US presence, QCEX acquisition, and $10 billion valuation signal strong institutional support. The collaboration aims to onboard 24 million users, expanding trading volumes beyond DeFi niches. This mainstream integration is likely to increase demand for Polymarket’s settlement services and any associated token, potentially boosting prices in both the short and long term.