PrizePicks launched its prediction markets product yesterday through Performance Predictions II, a Futures Commission Merchant registered with the National Futures Association. The new offering runs through a multi-year deal with Kalshi, which operates as a Designated Contract Market under federal oversight.
Kalshi provides the actual event contracts that now appear inside the PrizePicks app. Users can trade predictions on sports results, entertainment outcomes and political events.
The product went live across 38 states plus Washington DC at launch.
Why PrizePicks moved into regulated prediction markets
CEO Mike Ybarra said the expansion “delivers on what our customers want.” He pointed to demand for new ways to play beyond traditional daily fantasy formats.
The FCM registration matters here. It lets PrizePicks offer event-based contracts tied to federally regulated markets rather than operating in grey areas. That’s a different path than crypto-based prediction platforms have taken.
Kalshi CEO Tarek Mansour called this “a game-changing moment” for prediction markets in the US. His platform gets distribution through an established daily fantasy app with millions of users.
PrizePicks also highlighted its iCAP accreditation from the National Council on Problem Gambling. The company includes financial limits, timeouts and self-exclusion tools, plus mental health resources through Kindbridge Behavioral Health.
What customers can predict through the new offering
Team Picks cover match winners, fight results and season-long outcomes. Think playoff chances or total win predictions.
Culture Picks go beyond sports entirely. Users can place predictions on award shows and major political events. All the contracts come directly from Kalshi’s platform.
The app treats these as event contracts rather than traditional sports bets. But they function similarly from a user perspective.
PrizePicks emphasised the regulated structure repeatedly in its announcement. Every market listed in the app is a Kalshi market, running through the DCM framework.
How this launch reshapes the prediction market landscape
The timing’s interesting. Polymarket announced its own PrizePicks partnership just days ago.
But there’s a key difference. Kalshi’s contracts can go live immediately because they’re already federally approved. Polymarket still needs to re-enter the US market after exiting years ago.
PrizePicks becomes the first major daily fantasy operator offering prediction markets at scale. Kalshi founded in 2018 and remains one of the largest US prediction platforms by volume. Polymarket leads in valuation despite its US market absence.
A recent Kalshi poll found nine in 10 Americans support legalising prediction markets. That suggests regulatory momentum could build.
The FCM structure might become a template. Other daily fantasy operators could follow this path rather than waiting for state-by-state sports betting expansion.
