Underdog, one of the fastest-growing fantasy and sports gaming platforms in the U.S., has partnered with Crypto.com’s affiliate Crypto.com | Derivatives North America (CDNA) to launch a federally compliant prediction market exchange directly within its app.
The move makes Underdog the first gaming platform to enter the prediction market, allowing fans to trade outcomes of major sports events while combining fantasy sports, sportsbook, and prediction markets in one platform.
Platform Mechanics
The partnership allows Underdog users to trade CDNA sports event contracts across major U.S. leagues, including the NFL, NBA, MLB, and college football. Contract prices update in real time, reflecting shifts in expectations as games progress. CDNA, a CFTC-registered exchange and clearinghouse, provides federal regulatory oversight for the offering.
Sponsored
Meanwhile, Underdog’s proprietary technology powers the integration, unifying fantasy sports, sportsbook, and prediction market functionality in a single app.
The company holds gaming licenses in multiple states and applies established responsible gaming measures to the new prediction market products.
Jeremy Levine, Underdog’s CEO, described prediction markets as “one of the most exciting developments we’ve seen in a long time,” emphasizing sports’ role in driving sector growth.
Travis McGhee, Managing Director and Global Head of Capital Markets at Crypto.com, said the partnership broadens access to CDNA’s sports event contracts and enhances the fan experience nationwide.
Regulatory Shift Opens U.S. Market
The launch marks a significant step for U.S. prediction markets, which have been limited by regulatory constraints.
While the U.S. Commodity Futures Trading Commission (CFTC) regulates prediction markets,it has historically restricted gaming-related contracts.
In May 2025, the CFTC dropped its appeal of a court ruling in a KalshiEX LLC case, allowing the platform to offer election outcome contracts. The decision is widely seen as a regulatory precedent, signaling a more permissive stance toward expanding prediction markets.
As of 2025, the U.S. prediction market sector was valued at approximately $17.5 billion and is expected to reach $100.2 billion by 2034, growing at an average annual rate of roughly 21.4%.
Why This Matters
The Underdog and Crypto.com CDNA partnership could reshape fan engagement by offering a legal, regulated alternative to informal betting and sports gaming platforms.
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People Also Ask:
Underdog is a U.S.-based sports gaming platform that allows users to participate in fantasy leagues, sports betting, and now prediction markets through its app.
Prediction markets are platforms where users trade contracts based on the outcomes of future events, such as sports games, elections, or other measurable events. Prices reflect the collective probability of an event occurring.
Through its partnership with Crypto.com | Derivatives North America (CDNA), Underdog lets users trade federally regulated sports event contracts within its app, covering leagues like the NFL, NBA, MLB, and college football.
