Fanatics introduces a fan-led prediction market with Crypto.com, expanding event-based trading across sports, finance, and culture under CFTC oversight.
Fanatics has launched a new prediction market platform through a strategic partnership with Crypto.com, offering fans a fresh way to trade event-based contracts. The company wants to combine the culture of sports with financial forecasting while having a wider reach digitally. Moreover, the new service expands Fanatics beyond merchandise and gaming.
Fanatics Expands Into Regulated Prediction Markets
Fanatics Markets links users with Crypto.com | Derivatives North America, a CFTC-regulated exchange with institutional-grade infrastructure. Since the trading system is under the supervision of the federal government, the companies prioritize more security and compliance. In addition, Fanatics retains complete control of the user interface for a streamlined user experience. Twenty-four states across the board are available on iOS and Android.
Powering Up Predictions! We’re excited to announce our next prediction markets partnership with Fanatics as they launch @Fanatics Markets – the first Fan-Led Prediction Market at the Intersection of Sports, Finance, and Culture.
Read more: https://t.co/rd4KymEOIW pic.twitter.com/LBMUVBlUeI
— Crypto.com (@cryptocom) December 3, 2025
The platform enables users to trade in contracts that are linked to sports, politics, finance, economics, and cultural events. For instance, users might predict if a team is able to score more than a certain amount or if a market trend will occur. Furthermore, Crypto.com maintains custody, clearance, and risk management through its regulated derivatives entity. Such a structure is what supports a transparent marketplace that aims to attract new participants.
Related Reading: Crypto Exchange Gemini Plans to Launch Prediction Market Contracts | Live Bitcoin News
Fanatics said the partnership is a natural extension of its fan-oriented ecosystem. The company said consumers already interact with the sports through apparel, tickets, collectibles and gaming. Therefore, prediction markets are another way of interactive participation. Executives emphasised that the platform has a strong focus on safety, clarity and responsible use.
Rollout Will Expand to More States and Market Categories
Fanatics Markets is being launched in two phases. The first phase starts on December 3, 2025, in ten states. Fourteen more states will join in the following week. This expansion is aimed at large markets such as California, Texas, Florida, and Washington. According to Fanatics, the wider access will help in building liquidity and supporting competitive pricing. The firm anticipates high initial adoption.
The second phase, due to be implemented early 2026, will see the introduction of contracts that are tied to cryptocurrencies, stocks, IPO activity, climate events, technology trends, movies, and music. Consequently, the platform will move further beyond the sphere of sports. Company officials said these additions are in response to user demand for broader forecasting opportunities. They believe the expansion will distinguish Fanatics Markets from existing competition.
Fanatics strengthened its regulatory hand earlier in 2025 by acquiring Paragon Global Markets. With this acquisition, Fanatics became a CFTC-registered introducing broker. As a result, the platform can work within federal rules as well as coordinate directly with Crypto.com’s regulated infrastructure. Analysts say this development gives Fanatics an advantage in an increasingly competitive space.
Experts Highlight Market Growth and Competitive Pressures
Industry observers see Fanatics entering the prediction market as a big deal. While Polymarket and Kalshi are the dominant players, there are new regulated entrants emerging in the sector. DraftKings and FanDuel have also studied similar offerings. Therefore, analysts anticipate competition to increase as leading brands tie sports audiences to the financial-style products.
Executives of both firms commented on the partnership. Crypto.com’s predictions head said the collaboration enhances industry innovation. Fanatics’ chief executive added that prediction tools provide fans with new ways to experience cultural moments. Due to the fact that both companies are targeting large user bases, the collaboration could result in faster mainstream adoption.
As prediction markets grow, experts say regulatory clarity will drive long-term development. They warn that inconsistent state rules may be forcing adjustments and could be leading to the liquidation of non-compliant contracts. However, the Fanatics-Crypto.com partnership puts itself in a fully regulated federal framework. Consequently, the platform seeks to operate with fewer disruptions while encouraging responsible participation with its growing user base.
