- Underdog Sports struck a deal with Crypto.com’s derivatives affiliate to launch sports prediction markets on its platform.
BROOKLYN – A partnership announced Tuesday makes sports event contracts from Crypto.com | Derivatives North America (CDNA) available inside the Underdog app.
For Underdog, a company best known for fantasy contests and sports betting in North Carolina, is increasingly pushing into traditional sports betting. The deal positions Underdog as the first licensed U.S. gaming operator to integrate prediction markets alongside fantasy and wagering products in a single app.
Users will be able to trade on outcomes of professional and college sports, including the NFL, NBA, and MLB. Like other prediction markets, prices move in real time based on market activity rather than legal sports betting odds set by bookmaker.
“Prediction markets are one of the most exciting developments we’ve seen in a long time,” Underdog founder and CEO Jeremy Levine said. “The future of prediction markets is going to be about sports — and no one does sports better than Underdog.”
Crypto.com, which first launched sports prediction markets in late 2024, has kept a low profile after an early clash with regulators. But the move comes amid a rush by operators to tap into sports futures markets. While FanDuel has aligned with CME Group and DraftKings CEO Jason Robins has openly expressed interest, competitors like Kalshi and Polymarket have been pushing hard on marketing and market expansion.
- Further Reading: Kalshi Hit With Lawsuit In California, Polymarket to Return
Still, the sector remains legally murky. The CFTC and federal courts continue to debate whether sports event contracts should be treated as gambling products under state law, financial assets under federal law, or something in between. Tribal operators, particularly in states with sports betting like Florida, have also resisted products they see as potential threats to their exclusive gaming rights.
For now, Underdog is betting that combining fantasy, sports betting, and federally regulated prediction markets will resonate with users and keep it ahead of rivals. The company, valued at more than $1 billion with funding support from high-profile investors such as Mark Cuban, Kevin Durant, and Odell Beckham Jr., is positioning itself as one of the most ambitious disruptors in the U.S. gaming space.
