DraftKings to add micro-bets to prediction markets

DraftKings plans to add faster, more granular in-play micro-betting options to its DraftKings Prediction platform, Paul Liberman, the company’s president of operations, told the Milken Institute Global Conference on Monday.

The company acquired Simplebet for nearly $200 million in 2024 and has invested in in-play technology. DraftKings launched DraftKings Prediction in December and now lists seven contracts across 48 states, including sports contracts in 18 states where its regulated online sportsbook cannot operate.

Liberman noted that traditional sportsbook products remain the company’s core business in states with legal sports betting. Company surveys indicate customers in regulated markets still prefer placing wagers through a sportsbook, and DraftKings positions prediction markets as a complementary channel in large states without legal online betting.

DraftKings has rolled its products into a single “Super App” that combines sportsbooks, prediction markets and other verticals. Company executives say data flows between the sportsbook and prediction businesses to inform pricing and user engagement.

Regulatory infrastructure tied to prediction markets is changing. On May 4 the Commodity Futures Trading Commission issued a supplemental no-action letter after a joint request from Railbird Exchange and Bitnomial Clearinghouse. The letter allows Bitnomial to take over clearing duties for Railbird contracts, replaces QC Clearing and removes a previous restriction on futures commission merchants managing customer accounts for Railbird.

Legal pressure has increased. In March 2026 the Public Health Advocacy Institute filed a product-liability lawsuit naming DraftKings, FanDuel, the NFL, Genius Sports and several hosts. The complaint alleges microbetting products contributed to severe gambling addiction and asserts platforms used AI and machine learning to encourage rapid, repetitive wagers and constant feedback. The filing compares the experience to slot-machine mechanics and uses the term ‘dark flow.’ It cites individual losses, including one person who lost $175,000 and another who lost more than $1.8 million.

A New Jersey Senate committee advanced a bill that would ban wagers defined as bets on the next play or immediate action, citing concerns about addiction and sports integrity. Separately, Genius Sports recorded more than $126 million in microbetting-related commissions in 2025.

Panelists at the Milken conference said the legal status of sports-event contracts and prediction markets remains unclear without a federal ruling or a decision from the U.S. Supreme Court. Stephanie Guild, chief investment officer at Robinhood, warned that political and judicial developments could change the regulatory landscape. Liberman acknowledged that from a consumer perspective the line between sportsbooks and prediction markets can appear blurred.

DraftKings executives said background legal rulings and regulatory guidance will influence the pace and scope of any rollout for faster micro markets.