On Wednesday, Fanatics introduced Fanatics Markets, an innovative event-trading platform designed for users to bet on results spanning sports, finance, and culture, representing the company’s inaugural venture into prediction markets and outpacing competitors such as DraftKings and FanDuel in launch timing.

The platform is now operational in 10 states, notably including Alaska, Delaware, Hawaii, Idaho, Maine, New Hampshire, North Dakota, Rhode Island, South Dakota, and Utah. It aims to roll out in 24 states by week’s end, with high-profile markets like California, Texas, Florida, and Washington in its sights. Fanatics is focusing on states where traditional sports betting is illegal or limited to monopolistic frameworks, thereby broadening its presence where its sportsbook cannot yet function legally.

Described as “the first prediction market at the nexus of sports, finance, and culture,” Fanatics Markets will be launched in two distinct phases. The initial phase will provide contracts linked to areas such as sports, finance, economics, and politics. The subsequent phase, anticipated in early next year, will introduce markets related to cryptocurrency, stocks and IPOs, climate change, technology, artificial intelligence, along with major movies, music, and pop culture events.

“For years, Fanatics has offered fans innovative ways to engage with their favorite teams through merchandise, collectibles, tickets, gaming, and events,” stated Matt King, Chief Executive Officer of Fanatics Betting and Gaming. “With Fanatics Markets, we are now providing fans a secure and user-friendly platform to interact with significant moments in sports and culture, enabling them to choose sides and potentially profit if their predictions are accurate.”

Introducing Fanatics Markets.

Pick a Side and Profit. pic.twitter.com/ZEA6SPVFfY

— Fanatics Markets (@fanaticsmarkets) December 3, 2025

The pricing structure for Fanatics Markets is facilitated through a strategic alliance with Crypto.com | Derivatives North America (CDNA), an exchange and clearinghouse registered with the CFTC. Crypto.com emphasized that this partnership would provide users with institutional-grade infrastructure and a compliant marketplace. “Together, we will offer fans a secure and regulated way to engage with prediction markets,” remarked Travis McGhee, the company’s global head of predictions.

In July, Fanatics strengthened its regulatory position by acquiring Paragon Global Markets, a registered introducing broker with the CFTC and member of the National Futures Association. Prediction markets operate under federal event-contract regulations instead of state gambling laws, although some state regulators have cautioned that sportsbooks entering this realm could risk their licenses.

Interest in prediction markets has amplified, with platforms like Kalshi and Polymarket recording a combined trading volume nearing $28 billion as of October, according to Crypto.com. Major consumer financial platforms like Google Finance, Yahoo Finance, and CNN have recently included prediction-market data, while competitors like DraftKings, FanDuel, PrizePicks, and Underdog are preparing their own offerings.

Fanatics remains unfazed by entering this competitive space. “We’re truly at the very beginning of a market that’s poised for exponential growth over the next five to ten years,” King remarked during an appearance on CNBC.

The Fanatics Markets app, now available for both iOS and Android devices, enables users to trade contracts, such as whether a particular team will score over 20 points or if the Federal Reserve will lower interest rates. Features include a shared wallet across the Fanatics ecosystem and built-in deposit and session limits.

Fanatics Markets plans to expand into 14 additional states this week, including Alabama, California, Florida, Georgia, Minnesota, Mississippi, Nebraska, New Mexico, Oklahoma, Oregon, South Carolina, Texas, Washington, and Wisconsin.