Sports merchandiser Fanatics is entering the prediction markets business through a partnership with Crypto.com, CEO Michael Rubin said in an interview with CNBC on Thursday.
The new platform is expected to launch “in the coming weeks,” Rubin added, but gave no details about what the product would look like or how it would work.
Prediction markets allow users to bet on the outcome of any real-world event, from elections and sports to entertainment and economic indicators. Rubin did not confirm whether the platform would focus on a specific area, but the involvement of Fanatics, which has deep roots in sports products and sports betting, suggests the company may initially rely on those connections.
It’s also unclear where the product will be available or whether it will rely on crypto rails. Prediction markets are legal in some US states but completely banned in others, so regulatory approval will play a big role in how widely this product can be launched.
Rubin acknowledged the challenge, noting that while Fanatics is currently licensed in only 23 states, he believes there is strong demand potential in the remaining 27 states.
If successful, Fanatics’ prediction market could compete with platforms like Kalshi and Polymarket, which have had great success over the past year.