DraftKings Climbs to Third Place in DKeX Prediction Market

DraftKings is drawing attention quickly with DKeX, the prediction market exchange it launched at the end of June. Jason Robins, the company's CEO and co-founder, said at the NEXTPredict Summit in New York that the exchange has taken third place among US prediction markets.

Robins said DKeX gives the company full control over its gaming economy. The platform's market share rose slightly in September, while trading volume in US prediction markets is largely concentrated in two operators.

The DraftKings Predictions platform is available in 38 states, but the full set of event contracts is offered in only 18 states. California, Florida and Texas are on that list, while financial contracts are limited to states with heavy sports betting activity such as Colorado, New York and Pennsylvania.

Robins said the decision not to offer sports derivatives in states where sports betting is traditionally legal was made so that the company's licenses would not be put at risk. The future of sports event contracts is seen as depending on a Supreme Court ruling, but Robins argued that the company is well positioned regardless of the outcome.