Underdog Expands Into Prediction Markets With New Exchange

Underdog has officially launched its own in house prediction market exchange, marking a major step in the company's expansion into the fast growing prediction markets sector.

The new exchange, which is regulated by the Commodity Futures Trading Commission (CFTC), allows Underdog to offer event contracts through infrastructure it owns and operates, rather than relying on a third party exchange. The move brings the company's prediction market products under one roof and gives it greater control over other future development.

Bringing Everything In House

Underdog said the launch is designed to create a much smoother experience for users by integrating prediction markets directly into its existing app.

Customers will be able to trade contracts across sports, culture and other real world events without leaving the platform. By operating its own exchange, Underdog also gains more flexibility to introduce new markets and features as its prediction business continues to expand.

The company has been steadily building its prediction market business over the past year, including securing the licences needed to operate its own regulated exchange in the United States.

A Bigger Push Into Prediction Markets

The launch shows Underdog's ambition to become a bigger player in a market that has seen instant growth over the past year. Platforms such as Kalshi and Crypto.com have helped bring prediction markets into the spotlight, particularly through sports event contracts, and more companies are now looking to establish their own presence in the space.

By bringing its exchange in house, Underdog joins a list of operators investing directly in prediction market infrastructure rather than depending on external providers.

Competition Continues to Grow

Underdog's latest move comes as competition in the prediction market industry continues to intensify. The sector has attracted millions of users during major sporting events such as the FIFA World Cup, while ongoing legal battles over sports event contracts have kept prediction markets firmly in the public eye.

Despite the regulatory uncertainty in some states, companies continue to invest in new products, suggesting that they see long term potential in the market.  For Underdog, launching its own exchange represents another milestone as it looks to strengthen its position in an increasingly competitive industry.

Stay tuned to UMG Gaming for the latest news, analysis and updates from the world of prediction markets, sports betting and iGaming.