Underdog has self-certified the first contracts for its in-house exchange, a sign that it may soon be able to launch them to the public.
The exchange has at least one market maker ready to trade on these markets. It is not clear if this market maker is part of Underdog itself or an external entity.
The filing, first reported by PredictionMarketPulse, is likely a sign that Underdog will launch its in-house prediction market soon, as self-certification is typically a final step before launching real live testing, followed by a full launch.
Currently, Underdog directs customers to contracts from Crypto.com and Kalshi, which operate as designated contract markets (DCMs), or exchanges. However, in March, Underdog bought Aristotle Exchange, the DCM arm of PredictIt, allowing it to operate its own exchange rather than routing customers elsewhere.
Seven self-certifications
Underdog self-certified seven contracts. Three are baseball markets related to a team’s total runs in a game or a specific part of the game, three are basketball markets about a team’s points in a game or part of a game, and a final contract is the more open-ended, “Will <entity> achieve <outcome/occurrence> <time period>?”
That last contract would cover game winners across a variety of sports, as well as “Statistical, performance-based, or threshold outcomes,” which could apply to teams or to individual players. The filing did not specifically refer to parlays, though its open-ended nature could arguably allow them to be covered. A page on Underdog’s website says that the new exchange will support “multi-event contract structures where available.”
The self-certification filings all note that “at least one market maker will be providing liquidity” on these markets.
The filings also included a header featuring a logo for “UDX,” which appears to be Underdog’s name for the new in-house exchange.
