Fantasy and sports wagering operator Underdog has partnered with trading platform Crypto.com to get in prediction markets.

The agreements will be provided on Underdog's platform in 16 states, the majority of which have actually not legislated conventional sports wagering.

- Underdog now has fantasy contests, sports betting chances, and prediction markets

- CFTC-licensed prediction platforms can use sports contracts in every state

- Sports contracts are expected to create $555 million this year

Crypto.com is a Commodities Futures Trading Commission-licensed platform, meaning that it is certified to operate in all American states. Underdog is just certified as a standard sports wagering operator in North Carolina, however it offers fantasy sports contests in 40 states.

The groundbreaking collaboration symbolizes the combining of existing suppliers with prediction platforms, gaming's beginners who have thrown a wrench into the structure of state and national markets.

"Prediction markets are among the most amazing advancements we've seen in a long time," said Underdog founder and CEO, Jeremy Levine. "While still new and evolving, one thing is clear - the future of forecast markets is going to have to do with sports - and no one does sports better than Underdog."

Underdog traditionally allows its consumers to put together "Higher" or "Lower" chooses related to projected player statistics in a range of sports. These picks are to slips and efficiently act as parlays.

Customers can also prepare lineups or wager on head-to-head prop matchups in between different professional athletes.

That's various from forecast platforms, who offer agreements associated to outcomes of sports events and whose costs are directly influenced by public demand instead of "the home."

An up-and-coming market

Rather than living on their own platform, sports bettors will have the ability to gain access to Crypto.com's event agreements right from the Underdog app.

Underdog is now the only company with fantasy contests, traditional sports betting chances, and forecast markets in the same app.

"We are thrilled to partner with Underdog to enhance the sports experience for customers nationwide with the ability to now trade utilizing Underdog's innovation - all in one app," said Travis McGhee, Managing Director, Global Head of Capital Markets at Crypto.com. "We were the first to use sports events contracts, and our technology partnership with Underdog will offer more access to CDNA's innovative offerings."

Crypto.com's CFTC-licensed status means that it is eligible to operate in every state, although a number of state regulators have actually sent cease-and-desist orders to various prediction platforms.

Citizens gaming analyst Jordan Bender estimated in April that sports event contracts could create $555 million this year. That would make it about 3.5 percent of the size of standard sports betting, which produced about $16 billion in 2024, he said.

Sports betting, forecast platforms merging

Crypto.com isn't the only forecast platform that has unified with an existing sports betting operator. FanDuel, which had actually eyed prediction leader Kalshi as a possible partner, revealed in August that it would partner with CME Group to offer financial events contracts.