DraftKings has announced plans to launch sports event contracts on its proprietary DraftKings Predictions platform within the coming months. This new initiative marks a strategic step toward diversifying its offerings, reaching players across all 50 states even those without regulated online sports betting.
The announcement, made during the company’s Q3 2025 earnings release, underscores DraftKings’ ambition to lead in federally compliant prediction markets. CEO Jason Robins called the project one of the company’s most promising developments, emphasizing its potential to significantly expand the total addressable market. By allowing users to trade outcomes of sporting events within a regulated framework, DraftKings aims to offer a compliant, engaging experience for new audiences.
This move coincides with solid financial results. DraftKings reported $1.14 billion in Q3 revenue, up 4% year-over-year, alongside a 17% rise in October sportsbook handle. Monthly Unique Payers reached 3.6 million, and ARPMUP increased to $106, supported by improved sportsbook hold and iGaming revenue growth.
The company also raised its 2025 guidance, now expecting up to $6.1 billion in revenue and $550 million in adjusted EBITDA, reflecting strong momentum and disciplined cost control.
Backed by partnerships with ESPN and NBCUniversal, DraftKings is poised to leverage media exposure and technology integration to dominate this emerging market. The rollout of DraftKings Predictions represents not only an expansion opportunity but also a potential catalyst for wider regulatory progress in the U.S. sports betting industry.
