Share 
DraftKings says its prediction market business is off to a faster start than expected, and management says the new offering is adding customers rather than taking business from its core sportsbook.
On the company’s second-quarter earnings call, CEO Jason Robins said more than 600,000 customers have used DraftKings’ prediction offering so far this year. He also said company data shows “no discernible impact” from prediction markets on sportsbook revenue.
DraftKings points to rising volume and low overlap
According to management, annualized total trading volume in the prediction business increased nearly fivefold, from $2.3 billion in April to $11 billion in July.
Robins said customer overlap with the largest prediction market operator in sportsbook states is about 1%, a figure DraftKings used to argue the product is reaching a different audience. The company also estimated that roughly 80% to 90% of prediction market volume in states with legal sportsbooks comes from professional betting syndicates and institutional traders.
DraftKings reported customer acquisition rose nearly 75% year over year in the second quarter, while sports consumer volume — combining sportsbook handle and prediction market activity — increased 15%.
Full-year guidance stays in place as legal fight continues
DraftKings generated $115 million in adjusted EBITDA in the quarter and maintained its full-year outlook of $6.5 billion to $6.9 billion in revenue and $700 million to $900 million in adjusted EBITDA. The company also reiterated that its core sportsbook business remains on track to generate roughly $1 billion in adjusted EBITDA during 2026.
DraftKings said it has launched its own exchange, received Futures Commission Merchant approval from the National Futures Association, and integrated in-house market-making capabilities as it continues investing in the category ahead of the NFL season.
The broader legal fight over sports event contracts is still unresolved. The article cites a Third Circuit ruling favoring Kalshi in its dispute with New Jersey, Nevada’s appeal before the Ninth Circuit, and the Commodity Futures Trading Commission’s challenge to Minnesota’s new law prohibiting sports event contracts.
For New York readers, the immediate takeaway is less about a direct state policy change and more about market direction: DraftKings is treating prediction markets as a meaningful growth business while the regulatory framework is still being contested in multiple jurisdictions. As always, bettors should follow state rules and gamble responsibly.
—
Source: As reported by Ryan Butler.
