DraftKings Partners with Polymarket for Prediction Market Platform

DraftKings has acquired Railbird, a CFTC-regulated prediction market platform, signaling a strategic MOVE into the burgeoning prediction market sector. The acquisition paves the way for the launch of DraftKings Predictions, a new mobile app set to debut in the coming months. Polymarket will serve as the clearinghouse for the platform, which will cover diverse markets from finance to entertainment.

Polymarket's valuation surge reflects the sector's explosive growth. The platform is now seeking funding at a $12-15 billion valuation, a stark increase from its $1 billion valuation in June. This comes as prediction markets hit record trading volumes, with Polymarket and Kalshi combining for over $4.63 billion in October alone.

The partnership with DraftKings marks a significant milestone for Polymarket, which recently secured deals with the NHL and other major entities. Kalshi, another key player, is also attracting investor interest with valuations exceeding $10 billion. The prediction market sector is rapidly gaining traction, driven by institutional adoption and record-breaking trading activity.