CME Group and FanDuel Team Up to Offer Event-Based Contracts

CME Group, the top derivatives exchange worldwide, and online gaming powerhouse FanDuel have joined forces to broaden the reach of regulated event-based contracts in the United States. The team-up, announced on August 20, brings together financial markets and online gaming, opening up new doors for everyday traders and bettors.

New CME-FanDuel Partnership Brings Low-Cost Event Contracts to Millions

The partnership will start a joint venture that works as a non-clearing futures commission merchant (FCM). This setup will let FanDuel‘s many customers trade funded, “yes/no” contracts linked to economic indicators, stock indexes, commodities, and digital assets. These offerings should launch later this year, with buy-ins beginning at just $1.

The new contracts will cover standards like the S&P 500 and Nasdaq-100, oil and gas prices, gold, cryptocurrencies, and key economic data, including GDP and inflation reports. More products are likely to come in 2026 as the venture grows.

CME Group CEO Terry Duffy stressed that the partnership aims to meet the growing retail interest in financial markets. He pointed out that individual investors have become more knowledgeable and are looking for new ways to show their views on economic trends. FanDuel CEO Amy Howe agreed, noting that the team-up would give millions of users access to a safe, regulated platform to explore new trading types.

New Joint Venture Targets Kalshi as Finance and Gaming Worlds Converge

Market experts view this move as a challenge to existing prediction markets like Kalshi, which has faced regulatory obstacles while trying to expand into sports-related contracts. By using CME’s regulatory know-how and FanDuel’s reach, covering more than 12 million active users, the joint venture puts itself in a good position to grab a piece of the growing event-contracts market.

The partnership happens as investing and gaming are mixing more and more. Apps like Robinhood have already pulled in younger, tech-smart users through game-like trading. FanDuel‘s addition of financial products could draw a similar crowd, many of whom already know about online trading and sports betting.

The CFTC (US Commodity Futures Trading Commission) will regulate these contracts, making sure the products meet industry rules for openness and customer safety. Though the plan still needs final approval from regulators, both companies feel sure about starting on time.

As more people want easy-to-use, cheap trading options, the CME-FanDuel team-up shows a daring move to connect old-school finance with user-friendly digital platforms.