DraftKings Is Looking for Admission into National Futures Association Once Again

DraftKings may have objections to prediction markets, but the vertical seems poised to stay, and this means mainstream betting companies need to adapt on time. In the case of DraftKings, this is done through a new application to the National Futures Association (NFA), as the company is planning on running prediction markets on its own.

DraftKings Once Again Signals Strong Interest in Prediction Markets

While the NFA is not an actual regulator, i.e., it cannot block or grant DraftKings rights to launch prediction markets, it’s still an esteemed organization in the sector, so much so that PrizePicks and Underdogs have both applied for membership.

The club is rather exclusive as well, as DraftKings’ earlier attempt was, if not rebuffed, then took a while to process before the company withdrew it. Others, though, have decided to go it alone – Kalshi is not a member of the NFA, and it doesn’t seem to be giving any indication that it is in a hurry to change that.

However, DraftKings, too, has remained fairly guarded about what it may do about prediction markets. While sports betting companies have grumbled about the sector, most have realized that these markets are probably here to stay, which made their criticism more subdued and their attempts to break ground more pronounced.

DraftKings, though, has not said with certainty that it would be launching prediction markets of its own. The company also has a huge swathe of the sports betting market to safeguard as well, and directing existing consumers’ attention to these alternative options could undermine its near-dominance in the sector.