FanDuel launched sports prediction contracts in 18 states, including California and Texas, giving users in two of the country’s largest markets access to game-outcome contracts under the FanDuel brand without legal sports betting.
The launch is part of FanDuel’s nationwide rollout of FanDuel Predicts, a standalone prediction markets app introduced in all 50 US states. Sports event contracts are available in 18 jurisdictions, while 32 states have FanDuel Predicts without sports markets.
California and Texas, the two most populous states, are among 10 states where FanDuel is offering sports contracts even though legal sports betting is not available. FanDuel is also offering sports contracts in Florida, where the Seminole Tribe’s Hard Rock Bet is the lone sports betting operator, and in Georgia, where legalization efforts have struggled.
The 18 states offering sports event contracts are: California, Idaho, Utah, New Mexico, Texas, Oklahoma, Nebraska, South Dakota, North Dakota, Minnesota, Alabama, South Carolina, Georgia, Florida, Delaware, Rhode Island, Alaska, and Hawaii.
FanDuel said it would not offer sports contracts in states where it already operates a sportsbook to avoid regulatory issues. The company’s current sports offerings include markets for the NFL, NBA, NHL, college football, and college basketball.
FanDuel Predicts began offering sports, finance, economics, and commodities markets in Alabama, Alaska, North Dakota, South Dakota, and South Carolina just days before Christmas 2025. Recently, FanDuel added sports contracts in 13 new states, with 10 of those states lacking legal sports betting. Residents in both sports and non-sports prediction states also have access to non-sports markets.
“We’re giving our customers a new platform to engage with the world around them – whether that’s the next Fed rate decision or a sports event,” James Cooper, senior vice president, flywheel and new ventures at FanDuel, said in December. “This (early) launch in five states will provide valuable insights into customer engagement with this new platform, enabling us to refine our approach as we expand to additional states in 2026.”
FanDuel partnered with CME Group in 2025 to gain access to federally regulated prediction markets. FanDuel Predicts and similar products are regulated by the Commodity Futures Trading Commission.
The launch comes while regulators in multiple states continue to challenge sports prediction contracts offered by platforms such as Kalshi, Robinhood, and Crypto.com. Connecticut, New Jersey, Nevada, Maryland, and Massachusetts have argued that such contracts resemble unlicensed sports betting rather than federally regulated financial instruments.
Connecticut issued cease-and-desist orders against multiple platforms, although enforcement was temporarily blocked by a federal court pending an injunction hearing. New Jersey sought to halt Kalshi’s sports contracts, but a federal judge paused state action after finding the company raised strong arguments under federal commodities law.
Nevada gaming regulators have issued enforcement orders, with federal court intervention disrupting proceedings in some cases. Maryland has allowed regulatory action to continue, leading to appeals, while Massachusetts’s attorney general is pursuing a case that frames prediction markets as illegal sports betting.
Other states, including Arizona, Illinois, Ohio, and Montana, have issued warnings or cease-and-desist notices. Pennsylvania and Michigan have issued advisory alerts rather than bans, adding to a fragmented regulatory environment.
The space has drawn participation from other operators. Through a partnership with Crypto.com, Fanatics began offering prediction markets in early December 2025. DraftKings Predictions later launched in 38 states. Trading platforms Kalshi and Robinhood have offered sports contracts since early 2025. Polymarket has re-entered the US, while daily fantasy sports operators Underdog and PrizePicks have offered prediction market selections for months.
Original article: https://www.yogonet.com/international/news/2026/01/20/117220-fanduel-launches-prediction-markets-in-all-50-states
