Lead: On Dec. 3, 2025, Fanatics rolled out Fanatics Markets, a new prediction-market platform, with an initial launch across 24 U.S. states including California, Texas, Florida and Washington. The platform lets users trade contracts tied to sports, finance, economics and politics immediately, with plans to add crypto, stocks, tech and music contracts early next year. Fanatics said the offering will use pricing provided by Crypto.com and a shared Fanatics wallet, and customers can set deposit and session limits. The company positions the product as another way for fans to engage with moments that move sports and culture and potentially profit if their predictions are correct.
Key Takeaways
- Fanatics launched Fanatics Markets beginning Dec. 3, 2025, expanding into 24 U.S. states during the week of the rollout.
- The first-phase rollout (10 states) went live Wednesday and includes contracts for sports, finance, economics and politics.
- Phase two and three covered an additional 14 states, with Friday’s expansion activating in California, Florida, Georgia, Texas and Washington.
- Pricing for contracts will be supplied by Crypto.com; users will access markets via a shared Fanatics wallet and can impose deposit and session limits.
- Fanatics says the platform will add crypto, stocks, technology and music contracts early in 2026, broadening beyond sports and politics.
- Competitors including DraftKings and FanDuel have recently entered or announced entries into prediction markets, signaling industry momentum.
- Fanatics frames the launch as a natural extension of its fan-facing ecosystem that already includes merchandise, collectibles, tickets and gaming.
Background
Prediction markets have grown rapidly since widespread legalization of online sports wagering in the U.S., attracting both specialist platforms and incumbent gambling companies. Startups such as Polymarket and Kalshi demonstrated consumer appetite for event-based contracts that pay out based on outcomes, while regulated sportsbooks and gaming firms have moved to replicate that model within compliant frameworks. The activity has spurred established operators to add prediction-style offerings, either by acquisition or new product builds, to capture engaged users and diversify revenue streams.
Fanatics, historically known for sports merchandise and collectibles, has been expanding into betting and gaming through Fanatics Betting and Gaming and related units. The company has aimed to convert its large fanbase into customers by layering commerce with experiences and now event contracts. Regulators and state gambling regimes shape where and how these services can operate, so phased rollouts by geography are common as firms navigate licensing and compliance requirements.
Main Event
Fanatics opened Fanatics Markets on Dec. 3, 2025, beginning with a 10-state launch that included Alaska, Delaware, Hawaii, Idaho, Maine, New Hampshire, North Dakota, Rhode Island, South Dakota and Utah. A subsequent tranche went live on Thursday in nine more states: Alabama, Minnesota, Mississippi, Nebraska, New Mexico, Oklahoma, Oregon, South Carolina and Wisconsin. The final phase on Friday activated in five large states: California, Florida, Georgia, Texas and Washington.
The initial contract set covers sports outcomes, financial and economic indicators, and political events. Fanatics said it will expand the product scope early next year to include crypto, equities, technology and music-related contracts. Fanatics plans to deliver pricing through Crypto.com and allow users to operate with a shared wallet across the Fanatics ecosystem, with controls for deposit and session limits intended to support safer play.
Fanatics Betting and Gaming CEO Matt King framed the product as an extension of the company’s fan-engagement strategy, saying it offers an “intuitive” way for fans to take positions on events they care about. In public comments on CNBC, King added the market is at an early stage of growth and that Fanatics is comfortable entering now even if competitors moved earlier. Fanatics CEO Michael Rubin also signaled the company’s intent to enter prediction markets in recent interviews with CNBC.
Analysis & Implications
Fanatics’ entry accelerates the mainstreaming of prediction markets within regulated U.S. markets by coupling a high-profile consumer brand with a broad commerce ecosystem. The company brings a marketing reach and user base distinct from legacy sportsbooks, which could drive cross-selling and higher initial liquidity for some event categories. If Fanatics can migrate merchandise and ticketing customers into Fanatics Markets, the firm may shorten customer acquisition cycles compared with startups that rely solely on market liquidity to attract users.
Competition will be brisk. DraftKings moved into prediction markets after acquiring Railbird, and FanDuel announced a partnership with CME Group to offer similar products. Those incumbents possess deep trading and user-engagement experience, plus existing wagering account infrastructure that eases regulatory compliance. Fanatics must therefore build both liquidity and trust quickly, particularly for financial and crypto contracts where market participants expect tight pricing and counterparty reliability.
Regulatory and consumer-protection issues will shape outcomes. States differ in how they treat event contracts versus traditional sports betting or derivatives, so Fanatics’ phased launch reflects legal and operational constraints. The inclusion of deposit and session limits is a clear nod to responsible-play expectations, but regulators and consumer advocates will monitor whether such controls are sufficient as contract types expand.
Comparison & Data
| Phase | Launch Day | States Live | Representative States |
|---|---|---|---|
| Phase 1 | Wednesday, Dec. 3, 2025 | 10 | Alaska, Maine, Utah |
| Phase 2 | Thursday, Dec. 4, 2025 | 9 | Alabama, Minnesota, Oregon |
| Phase 3 | Friday, Dec. 5, 2025 | 5 | California, Texas, Florida |
This phased approach delivered access in 24 states across three consecutive days, balancing rapid scale with logistical and regulatory considerations. Large markets such as California and Texas were scheduled for the final phase, a choice that can help ensure platform stability and liquidity ahead of volumes expected in those populous states. Market observers will watch adoption and average trade sizes as early signals of commercial viability relative to competitors.
Reactions & Quotes
“For years, Fanatics has given fans new ways to enhance their fandom… Now, with Fanatics Markets, we’re giving fans a safe, and intuitive way to engage with the moments that move sports and culture.”
Matt King, Fanatics Betting and Gaming CEO (company statement)
“This is really the top of the first inning on a market that’s going to grow exponentially over the next five to 10 years.”
Matt King, on CNBC’s ‘Squawk on the Street’
“We intend to enter prediction markets as part of our broader push into fan engagement and new commerce models.”
Michael Rubin, Fanatics CEO (previous CNBC interview)
Unconfirmed
- The precise calendar for adding crypto, stocks, tech and music contracts early next year has not been specified by Fanatics.
- Details on liquidity provision beyond Crypto.com and how deep order books will be across contract types remain unclear.
- State-by-state licensing nuances and any pending approvals for specific contract classes were not disclosed in the initial announcement.
Bottom Line
Fanatics Markets represents a notable step by a major consumer brand into the prediction-market space, leveraging Fanatics’ existing fanbase and commerce infrastructure. The phased 24-state launch and stated product controls suggest the company is seeking a balance between rapid market entry and regulatory or operational caution.
The platform’s success will hinge on liquidity, pricing quality provided by partners such as Crypto.com, effective consumer protections and Fanatics’ ability to convert its broader customer relationships into active market participants. Observers should watch trading volumes, average trade sizes and how quickly new contract categories roll out as near-term indicators of market traction.
Sources
- CNBC — Major news outlet reporting the announcement and interviews with Fanatics executives
- Fanatics — Company website and corporate information (official)
- Crypto.com — Pricing partner (company official)