DraftKings has entered into a new agreement with Crypto.com that expands its prediction market offerings, bringing player-specific sports event contracts to its DraftKings Predictions platform for the first time. The deal allows DraftKings Predictions to offer event contracts listed through Crypto.com, a derivatives exchange regulated by the Commodity Futures Trading Commission (CFTC).
The two companies announced the partnership in a press release on February 6, saying users will be able to trade player-specific contracts tied to the NFL and NBA. DraftKings added that the deal also lays the groundwork for future event categories, including politics and entertainment.
“We’re continuing to build momentum behind DraftKings Predictions by leveraging our expertise across sports and technology and integrating additional CFTC-regulated exchanges like Crypto.com,” said Jeanine Hightower-Sellitto, senior vice president and general manager of DraftKings Predictions. She added that the collaboration “meaningfully expands customer access to trade on sports and a broader range of prediction markets.”
Player Prop Bets by Another Name
With the introduction of player-specific sports event contracts, DraftKings Predictions moves further into the territory of player prop bets offered by traditional sportsbooks, including the company’s own regulated sportsbook product.
In a standard sportsbook, you might bet the “under” on a player’s total points; on a prediction market, you are essentially trading a contract on whether that player will achieve a specific statistical milestone.
Player prop bets have come under increased scrutiny in the wake of several high-profile betting scandals involving U.S. sports leagues, such as the NBA, MLB, and, most recently, an alleged points-shaving and bribery conspiracy involving players in the Chinese Basketball Association and the NCAA.
Critics have long argued that these “micro-markets” are especially susceptible to spot-fixing, allowing a single athlete to manipulate an outcome without affecting the game’s final score.
The NCAA has renewed its calls for sportsbooks to ban college prop bets, citing harassment of student-athletes and integrity concerns. As more prediction markets offer trades that look a lot like player props, the industry will likely face pushback from regulators and sports leagues alike.
The Regulatory ‘Backdoor’
DraftKings is relatively new to the prediction market space, launching its standalone app DraftKings Predictions on December 19, 2025. The move came as several traditional sportsbooks looked to avoid being left behind as prediction markets began offering contracts on sports events in states where sports betting is still illegal.
Prediction markets use a gambling loophole that’s built on their classification as financial products. While individual states are responsible for oversight of traditional sportsbooks, prediction markets use a workaround to offer event contracts structured as financial derivatives. Instead of betting against the “house,” prediction markets allow users to bet on the probability of an outcome.
Since they are regulated by the CFTC, prediction markets can operate in states like California, Florida, Georgia, and Texas, where traditional sportsbooks are illegal. By launching their own prediction markets, sportsbooks can access markets that would otherwise be legally out of reach.
This strategy helps sportsbooks like FanDuel and Fanatics protect their market share from emerging platforms and maintain a presence in the “big four” states where traditional mobile sports betting remains in legal limbo.
However, it hasn’t been smooth sailing for prediction markets as they seek to move into sports betting. Several states, including Nevada, Tennessee, Maryland, and Massachusetts, have filed lawsuits or issued cease and desist orders, arguing that these platforms are unlicensed gambling operations.
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DraftKings has entered into a new agreement with Crypto.com that expands its prediction market offerings, bringing player-specific sports event contracts to its DraftKings Predictions platform for the first time. The deal allows DraftKings Predictions to offer event contracts listed through Crypto.com, a derivatives exchange regulated by the Commodity Futures Trading Commission (CFTC). The two companies
The post DraftKings Expands Prediction Market Catalog Through Crypto.com Deal appeared first on CasinoBeats.