DraftKings Takes On Kalshi, Polymarket With New Prediction App In A Push Beyond Sports Betting

• DraftKings’ entry into the predictions market comes after the company acquired Railbird Technologies, a federally regulated prediction market, in October.
• Following the acquisition, Jefferies stated that it believes an offering in predictions is necessary to enter states in which online sports betting is illegal.
• The Boston, Massachusetts-based company, known for its fantasy sports offerings, announced that its prediction markets launch is subject to oversight by the U.S. Commodity Futures Trading Commission (CFTC).

DraftKings Inc. (DKNG) on Friday announced its entry into prediction markets with the launch of a dedicated app, beginning with sports and finance, taking on similar offerings from Kalshi and Polymarket.

The Boston, Massachusetts-based company, known for its fantasy sports offerings, announced that its prediction markets launch comes under the oversight of the U.S. Commodity Futures Trading Commission (CFTC).

Named DraftKings Predictions, the service is a standalone web and mobile app that allows users to trade on real-world outcomes across a wide range of markets, beginning with sports and finance, before expanding to other categories.

Railbird Acquisition

DraftKings’ entry into the predictions market comes after the company acquired Railbird Technologies, a federally regulated prediction market, in October.

“Along with our operational footprint, marketing and analytics infrastructure, and advanced in-house technology, we believe we are uniquely positioned to lead this space over the long term,” said Corey Gottlieb, chief product officer of DraftKings.

Following the acquisition, Jefferies stated that it believes an offering in predictions is necessary to enter states where online sports betting is illegal.

Taking On Kalshi, Polymarket

The launch of a predictions market will allow DraftKings to compete with Kalshi and Polymarket.

Kalshi is currently valued at $11 billion, while rival Polymarket was reportedly eyeing a valuation of $12 billion to $15 billion. Both Kalshi and Polymarket allow users to bet on a wide range of topics, including sports, politics, and other real-world events.

DKNG stock is down 7% year-to-date and 12% over the past 12 months.

Also See: El-Erian Sees A New ‘Unsettling’ Economic Risk Emerging In 2026 – And It’s Not Inflation Or Affordability

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