DraftKings, a major player in the U.S. sports betting industry, has announced a significant move into the prediction market sector by naming Polymarket Clearing as its official clearinghouse. This partnership marks a notable collaboration between a traditional sports betting platform and a decentralized market infrastructure provider.
The announcement came through Polymarket founder Shayne Coplan via X, formerly known as Twitter. Coplan congratulated DraftKings on its recent acquisition of Railbird, a move that sets the stage for DraftKings’ entry into the prediction market space. Polymarket’s role will be to act as the financial intermediary, providing the backend infrastructure for DraftKings’ upcoming prediction market offering.
DraftKings announced the acquisition of Railbird just recently and is preparing to launch a mobile app called DraftKings Predictions. This new platform will allow users to engage in prediction markets, broadening DraftKings’ presence beyond its traditional sports betting roots.
The prediction market landscape is becoming increasingly competitive. Both Polymarket and its rival Kalshi have valuations exceeding $10 billion, reflecting strong investor interest in decentralized and regulated prediction platforms. DraftKings enters this arena as a heavyweight, boasting a market capitalization of approximately $17 billion.
In the crypto-native sector, new entrants such as Limitless are also vying for attention. Limitless recently launched its LMTS token, initially valued at $766 million. However, the token has since seen a decline to around $340 million within hours of its debut, an outcome partly linked to community reactions to recent communications from the project’s founder.
Adding to Polymarket’s momentum, the company announced a partnership with the National Hockey League (NHL), securing the title of the league’s official prediction market partner. Curiously, Kalshi has also claimed the same designation with the NHL, highlighting a trend of overlapping partnerships within the space.
This collaboration between DraftKings and Polymarket Clearing signals a growing intersection between traditional sports betting platforms and decentralized financial services. As prediction markets continue to evolve, such partnerships may shape the future of sports wagering and market speculation.
