Prediction markets take center stage in latest round of quarterly earnings reports
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- DraftKings prediction market platform grew annualized total volume from $2.3 billion to $11 billion between April and July, reaching 600,000+ customers since its December 2025 launch, with CEO Jason Robins expecting "millions" during the NFL season.
- DraftKings CEO Jason Robins said only ~1% of prediction market customers overlap with their sportsbook, estimating 80-90% of consumer volume comes from betting syndicates and institutional traders — even as Q2 adjusted EBITDA of $114.6M and revenue of $1.44B missed FactSet estimates of $156.1M and $1.51B.
- Flutter Entertainment announced FanDuel Predicts is moving from CME to Crypto.com for sports and novelty contracts ahead of the NFL season; shares closed down more than 11% after Dan Taylor was named to replace Peter Jackson as CEO.
- Flutter noted more than 40 state attorneys general are pushing back on the CFTC's assertion of exclusive jurisdiction over sports-related event contracts, a regulatory backdrop shaping Kalshi and Polymarket's operations.
- Coinbase reported prediction markets revenue grew 106% quarter-over-quarter with annualized revenue surpassing $100M in Q2 — KeyBanc analysts called the figure "below our estimate."
- Robinhood's Rothera exchange, launched in June, traded over 3.5 billion contracts and captured approximately 7-8% total market share among CFTC-regulated venues within two months.
Why it matters: Flutter's 11%+ stock drop on the same day FanDuel switched its exchange to Crypto.com shows investors are weighing execution risk as prediction markets pivot toward crypto-native infrastructure — and with DraftKings quintupling annualized volume to $11 billion in three months, the segment is now material enough to move multibillion-dollar operators' share prices.
Ask SkimNews
