The U.S. sports betting world moves quickly and unpredictably in 2025. In order to properly take stock of it all, we offer InGame’s “EndGame,” an end-of-week compilation of the top storylines, some overlooked items, and all the other news bits from this past week that we found interesting.
Coinbase partners with Kalshi, immediately sues states
Coinbase finally launched its long-rumored prediction market, in partnership with Kalshi, Wednesday.
Coinbase announced its prediction market feature alongside new offerings such as stock trading.
Just a day after its prediction market launch, Coinbase took to the courtroom to defend its new product, Chief Legal Officer Paul Grewal revealed. It sued the states of Michigan, Illinois, and Connecticut, where authorities argue that sports event contracts are an illegal form of gambling.
Kalshi had already sued Connecticut, but Michigan and Illinois are new legal ground.
Robinhood to offer Kalshi parlays
Kalshi partner Robinhood is set to offer access to the prediction market’s player props and parlays — or “combos,” as Kalshi calls them.
In a prediction market-themed event titled YES/NO on Tuesday, Robinhood CEO Vlad Tenev said the company is “at the very beginning of a prediction market super cycle.”
Robinhood users contribute a little more than half of Kalshi’s trading volume.
Robinhood is also set to launch its own exchange, it announced last month, though a spokesperson said it will continue to offer Kalshi contracts as well.
Honoring the mullet
Hockey players of a certain generation loved their mullets, and BetMGM on Monday pushed out a new responsible gaming ad paying homage to the, uh, not-so-stylish hairstyle. Starring Edmonton Oilers star Connor McDavid and former Montreal Canadiens player Terry Ryan, who is now an actor, the ad is airing in the U.S. and Canada, where new advertising rules only allow celebrities to be used in responsible gaming ads.
Jill R. Dorson
Fanatics: Chiefs, NFL owned Missouri Week 1
The most bet game on Fanatics Sportsbook during the first week of live sports betting in Missouri was the Kansas City Chiefs versus the Houston Texans, the company announced Wednesday. Fanatics was one of eight digital sports betting platforms that went live Dec. 1. The NFL was the most bet sports league, followed by the NBA. The Chiefs were the most bet team, and Detroit Lions running back Jahmyr Gibbs was the most bet player.
Jill R. Dorson
Underdog officially shutters in North Carolina
Tuesday marked the final day that Underdog took sports bets in North Carolina, leaving the state with seven digital betting platforms. Per a notice on its website, Underdog alerted customers last week that all wagering markets would be taken down at 11:59 p.m. Dec. 16. The company’s daily fantasy sports site remains live in the state.
Bonus funds not used will be converted to withdrawable funds, and any futures wagers that had not settled by Dec. 16 will be “paid out in the maximum amount.” Customers may withdraw funds at any time leading up to the shutdown, or after that can log into the Underdog daily fantasy site to access their wallet.
Jill R. Dorson
NFL warns of prediction market rise
The NFL is “troubled” by the rise of prediction markets and said that sports event contracts should not be offered, an executive wrote in testimony to a congressional committee.
Jeff Miller, an executive vice president, wrote to the House Committee on Agriculture ahead of last week’s hearing on CFTC reauthorization, in which prediction markets were a hot topic. The letter, first reported by The Closing Line, warns that these contracts do not have adequate safeguards.
“We are particularly troubled that several sports-related futures contracts have been launched nationwide, including in jurisdictions where sports betting has not been legalized,” Miller wrote. “These contracts fall outside the purview of state regulatory authorities and the safeguards they impose upon the industry.
“Until such time that professional sports leagues and fans can be certain that effective game integrity and consumer protection measures can be enforced, sports-related events contracts should not be approved by the CFTC, and Congress should consider clarifying the definition of ‘gaming’ contracts in the prohibited categories of the Commodity Exchange Act.”
Analyst: DraftKings, FanDuel don’t risk losing licenses over prediction markets
Citizens analyst Jordan Bender said DraftKings and FanDuel “look fine on the surface” in retaining their sportsbook licenses in Arizona and elsewhere although they intend to launch prediction markets. Underdog will lose its daily fantasy sports license because of a partnership with Crypto.com, which kept offering sports event contracts in Arizona despite being warned in May to stop.
Wrote Bender: “As we examine the value chain for both companies, neither has exposure to “illegal” entities in the eyes of Arizona, with CME Group (CME. NC) not providing sports contracts in states with legal sports betting. We believe both of these companies took the “cleanest” way possible to avoid friction with states and, on the surface, should not be impacted by the decision out of Arizona. We would even argue DraftKings’ acquisition of Railbird solves this issue by providing flexibility in a sense whereby it can tailor its offering around fluid changes in regulations over time.”
Bender noted that DraftKings and FanDuel were set to launch their prediction markets last Friday but “third-party dependencies delayed the launch.”
Brant James
Michigan: Tax revenue not a consideration for sanctions
States continue to decide how or if to move against licensed vendors that involve themselves in the prediction market business, specifically with sports event contracts. Underdog lost its daily fantasy sports license in Arizona because it is partnered with Crypto.com in other states to peddle them.
Meanwhile, some legislators and regulators told InGame at the National Council of Legislators from Gaming States of a concern that large operators that plan to offer prediction markets could yank their sportsbooks – and the state tax revenue they generate – if punished. Some companies voluntarily left Nevada recently.
Michigan apparently won’t take that into account, with the state’s Gaming Control Board Executive Director Henry Williams telling InGame, “While regulated gaming revenue supports important state and local programs, enforcement decisions are not driven by revenue considerations. Licensees are expected to operate in full compliance with Michigan law and Board rules, and failure to do so may result in enforcement action regardless of financial impact.”
Brant James
LSU compliance official: Betting rules ‘convoluted’
Steve Lautz, the executive associate athletics director for compliance at LSU, said member schools voting in November to rescind a rule change allowing student-athletes and staff members to bet on pro sports has created a muddled system. That said, he told InGame that he understood the sentiment because the vote of Division I schools came as college sports was awash in news about gambling scandals.
“It’s a complicated arrangement, how it came out,” Lautz told InGame. “I did think that [new rule] was something that we were going to have in place. I think it’s difficult for me to explain to our student-athletes why they can’t bet on the Super Bowl or for someone on my facilities team.
“But I also understand the number of high-profile [NCAA gambling] cases that we’ve had in the last six months or a year. It’s really poor timing to get that change to go through.
“We’re also in a situation where we do have some limited opportunities to wager, whether it’s NASCAR or boxing or MMA. And so we really have a really convoluted system.”
Student-athletes and athletic department staffers can bet on pro sports that are not sanctioned (i.e., played) by the NCAA.
Brant James
FanDuel adds bet integration to TV network
FanDuel Sports Network on Tuesday launched Bet Tracking, which allows viewers in certain markets to monitor their FanDuel Sportsbook bets in real time while watching live NBA and NHL games.
The feature is available for these teams’ networks: Cleveland Cavaliers, Charlotte Hornets, Detroit Pistons, Indiana Pacers, and Memphis Grizzlies in the NBA; Carolina Hurricanes, Columbus Blue Jackets, Detroit Red Wings, and Nashville Predators in the NHL.
Brant James
It’s better than saying they’re rigging it, right?
Los Angeles Rams wide receiver Puka Nacua may have just given handsy cornerbacks in his future some leeway.
On a livestream with Adin Ross and N3on on Tuesday, Nacua accused referees of making certain calls to increase their air time.
“”The refs are the worst,” he said. “These guys want to be … these guys are lawyers. They want to be on TV, too. You don’t think he’s texting his friends in the group chat like, ‘Yo, you guys just saw me on Sunday Night Football. That wasn’t P.I., but I called it.'”
NFL viewers can still decry that the games are rigged, but now at least they can think it is for ego, not profit.
Brant James
Check this out
Financial Times’ always excellent FT Alphaville section took a dive into the world of prediction markets Friday, examining Kalshi’s fee structure and heavy reliance on sports. Sports bets, Alphaville points out, happen to be the most lucrative type of trades for Kalshi even on a per-trade basis because many of them occur at close to 50/50 odds.
“Imagine a 30-minute interview with the CEO of OnlyFans where adult content is never mentioned,” it begins. “Given that it’s the focus of roughly 80 per cent of their video creators and is the main appeal of the site for its customers, you’d expect it to come up at least once.
“It should seem equally strange, then, for Tarek Mansour, the CEO of the prediction market Kalshi, to give a wide-ranging interview and never talk about the thing driving more than 90 per cent of the activity on his site: sports betting.”
Kalshi front and center
Kalshi will have its logo on the front of the new soccer Baller League USA jerseys, the Sports Business Journal reported Tuesday. Kalshi is the first sponsor for the new league, which debuts in February with six-man teams in 12 U.S. locations. Kalshi will also have the right to stream games and will be integrated into league broadcasts as well as have in-stadium billboards.
ICYMI on InGame
Kalshi Files To Accept Bets On Who Enters NCAA Transfer Portal
DraftKings Launches Prediction Market In 38 States, Offers CME Contracts
Policy Pro: Prediction Market Playbook Is Nothing New To Financial World
Kalshi At Risk Of Nevada Enforcement As Court Denies Stay
Maryland: Congress Laid Out Where CEA Overrules State Gaming Law — And Didn’t Include Kalshi
Sports Betting Alliance Warns Of Chicago Shutdown If Tax Passes
Federal Prosecutors Warn Of Possible Conflict As Rozier Pays Friend’s Lawyer
No, Sportsbooks And Exchanges Are Not Engaged In Some Zero-Sum War
Massachusetts To Require Operators To Inform Patrons If, Why They Are Limited
One Lawmaker, Three Bills That Would Change Sports Betting In New York
