New entrants join US prediction markets; Kalshi eyes IPO

Novig received approval to operate as a designated contract market, stepping away from a sweepstakes model it had used previously. ProphetX secured designations as both a designated contract market and a derivatives clearing organization and has launched its exchange across all 50 states. 365Predict, founded by industry veteran Laila Mintas, announced plans to offer prediction-market products.

Designations as a designated contract market and a derivatives clearing organization allow firms to list contracts tied to sporting outcomes and clear trades through a central clearing facility. Firms with those approvals can offer traded markets that let retail and institutional users bet, hedge or speculatively trade event outcomes.

Kalshi reported roughly $2 billion in annualized revenue, about three times its level in November. The company attributed growth in part to heavy betting around the World Cup and the NBA Finals. Kalshi is in discussions with investment banks about a possible initial public offering; people familiar with the matter say any listing is likely at least a year away as the company and advisers consider market timing and regulatory issues.

New York’s online sportsbooks recorded a net mobile betting loss of $48,515,979 for the week ending June 14, the first weekly net loss since state-regulated sports betting began in January 2022. Handle for the week rose to $587.58 million, up 50.3% year over year, while operator revenue swung about $102.85 million into the red, driven largely by winning bets on the Knicks as they captured the NBA title.

Polymarket and Splash Sports launched a nationwide NFL survivor contest with a $21 million guaranteed prize pool and a $1,000 entry fee. The contest includes trading features that allow late-stage entrants to hedge positions and protect their stakes through secondary-market mechanisms.

In Illinois, a bill to merge the state’s gaming and racing regulators into a Department of Gaming Regulation and Enforcement failed to advance. State Senator Bill Cunningham raised concerns about reduced transparency, noting that public meetings would be limited under the proposed structure.

A barn fire at the Saratoga Casino Hotel Harness Track killed 17 horses and injured another. The barn had passed inspection; officials identified exemptions in fire prevention requirements for certain track buildings as a focus of renewed scrutiny.

The approvals, product launches and revenue increases arrive ahead of the U.S. football season, when firms typically offer prediction and hedging products for NFL activity.