DraftKings Predictions App and $25 Promo Code

DraftKings launched its prediction markets apps on December 19, 2025, entering a space dominated by Kalshi and Polymarket. The DraftKings Predictions app is a CFTC-registered Introducing Broker through Wedbush Securities and connects to CME Group for trade execution.

Unlike traditional prediction markets, DraftKings’ pricing is in American odds format first, followed by contract prices — a design choice aimed squarely at sports bettors rather than traders. The platform launched with eight market categories covering sports (NFL, CFB, NBA, NHL, CBB) and finance (Stock Market, Bitcoin, Ethereum), though market depth is very limited compared to Kalshi and Polymarket.

Your funds are held by Wedbush Securities, not DraftKings. The company emphasizes its ESPN and NBCUniversal partnerships, promising “an authentic, real-time product that moves at the speed of sports.” Plans include integrating Railbird Exchange to expand available markets and improve economics over time.

The app is open to 38 states and is available in the App store or through your browser. New customers in eligible states can receive up to a $25 trade bonus based on their first trade, along with entry into a $1 million sweepstakes.

DraftKings Predictions app details

How to sign up for DraftKings Predictions

The sign up process is the same as any other product run through DraftKings, though you will be required to complete identity verification through a CFTC-compliant KYC process.

Step 1: Create account and verify your identity

Download the DraftKings Predictions app or visit predictions.draftkings.com. You’ll need to provide your full legal name, date of birth, Social Security Number, physical address, email, and phone number. DraftKings uses third-party verification services to complete the KYC process required by CFTC regulations.

Step 2: Fund your account

Deposit methods were not fully disclosed at launch. All customer deposits are held by Wedbush Securities, the app’s Futures Commission Merchant, not by DraftKings. Funds deposited into DraftKings Predictions are separate from other DraftKings products and cannot be transferred to Daily Fantasy, Sportsbook, Casino, or other DraftKings services.

Unlike Kalshi APY, DraftKings Predictions does not pay interest on cash balances or open positions.

Step 3: Select your trades

All markets display pricing in American odds format (+426, -567) as the primary indicator, with contract prices ($0.19, $0.85) shown secondarily. When you select a market, the trade slip shows your share price, fees (itemized separately), estimated total, and potential payout. Quick-add buttons let you increase position size by $5, $10, or $20 increments.

Each contract includes a rules summary explaining settlement criteria and data sources, though DraftKings provides significantly less detail than Kalshi’s comprehensive rule documentation. Make sure you read the settlement criteria before taking a trade.

Step 4: Understanding settlement

Winning contracts pay $1 per share. Losing contracts expire at $0. Your profit equals the difference between your purchase price and the $1 payout, minus the fees per contract.

Example: You buy 100 contracts at $0.51 for a total of $51. If the event resolves in your favor, you receive $100 (100 × $1). Your profit is $49, minus $1 in fees (100 contracts × $0.01), for a net gain of $48.

Settlement timeframes were not disclosed at launch and we had difficulty finding the information on site.

Promotion terms and conditions

DraftKings Predictions offers two launch promotions: up to a $25 trade bonus based on your first trade (in states where sports event contracts are available) and entry into a $1 million sweepstakes with multiple entry methods.

Is DraftKings Predictions legal?

Yes. DraftKings Predictions is legal and operates as a CFTC-registered Introducing Broker and member of the National Futures Association. The platform’s operating entity, GUS III LLC d/b/a DraftKings Predictions, facilitates access to event contracts through Wedbush Securities (a Futures Commission Merchant) and CME Group (a Designated Contract Market).

This regulatory structure mirrors the approach taken by competitors like Kalshi, where federal CFTC jurisdiction preempts state gaming laws because event contracts are classified as derivatives, not gambling.

DraftKings Predictions is available in 38 states, though states where sports betting is legal will not have access to the sports contracts.

Latest news and updates

• December 19, 2025: DraftKings officially launched DraftKings Predictions as a standalone mobile app and web product. The company secured Introducing Broker approval from the National Futures Association and CFTC ahead of the launch. CEO Jason Robins stated the acquisition of Railbird “positions us to win in this incremental space.”
• December 5, 2025: DraftKings received Introducing Broker approval from the National Futures Association and CFTC, clearing the final regulatory hurdle before launch.
• Summer 2025: News broke that DraftKings planned to acquire Railbird Technologies Inc. and its wholly owned subsidiary, Railbird Exchange LLC. Railbird is a CFTC-regulated Designated Contract Market.

DraftKings Predictions legal states

Here is a specific list of eligible jurisdictions and the current status in each state. States that have legal sports betting will not be able to trade contracts on sports events.

How DraftKings Predictions works

DraftKings Predictions operates as a broker that routes your orders through Wedbush Securities (the FCM) for execution on CME Group’s exchange. This structure is similar to how traditional online brokerages work. DraftKings provides the app interface and customer service, while regulated third parties handle execution, clearing, and custody of funds.

You trade event contracts with Yes/No outcomes priced between $0.01 and $0.99. The price reflects market consensus probability, displayed first in American odds format (+426, -567) and second in decimal contract price ($0.19, $0.85).

When you place a trade, DraftKings communicates your order to Wedbush, which executes it on CME Group’s exchange. Wedbush holds your deposited funds in a segregated account. DraftKings does not hold, execute, or settle any trades.

The platform charges $0.01 per contract per side, meaning you pay when opening a position and again when closing it. CME Group exchange fees apply on top of DraftKings’ commission.

Available markets and categories

DraftKings Predictions launched with only eight market categories:

Sports:

• NFL (championship futures, game spreads, totals)
• College Football (CFB)
• NBA
• NHL
• College Basketball (CBB)

Finance:

• Stock Market
• Bitcoin Prices (daily contracts only)
• Ethereum Prices

The depth of markets is disappointing. For crypto, DraftKings offers only daily Bitcoin price contracts, while Kalshi provides dozens of crypto markets with multiple timeframes. For sports, DraftKings launched with “Championship futures”, basically the Super Bowl and basic game markets, whereas Kalshi offers thousands of NFL contracts including player props, quarter/half lines, and granular statistical outcomes.

The company stated that “additional categories such as entertainment and culture” are expected as the offering expands, and plans to integrate Railbird Exchange to “broaden available markets, enable product innovation, and deliver advantaged economics over time.”

Can you trade sports on DraftKings Predictions?

Yes. DraftKings Predictions offers sports event contracts in select states, including California, Florida, Georgia, and Texas but there are only five sports categories: NFL, College Football, NBA, NHL, and College Basketball.

If you’re looking for a similar experience to betting on sports, check out Kalshi or Polymarket. Advantages include the ability to buy both sides, unload your contracts during a game and the fees are considerably less.

Available sports contract types

Here are the markets that went live at launch:

• Spread contracts: “Will [Team] win by more than X points?” covering point spreads for games
• Championship futures: “Will [Team] win the championship?” for major leagues
• Game totals: “Will the game have over X total points?” for scoring totals

DraftKings has not disclosed whether it will offer the extensive player prop markets, touchdown scorers, and statistical contracts that Kalshi introduced in 2025. The apps’ limited market depth at launch suggests it will expand gradually.

How sports contracts differ from traditional betting

Unlike sportsbooks where you lock in odds at placement and must hold until settlement, prediction market contracts can be sold before the event ends if market conditions shift in your favor. This provides an exit option that traditional sports betting doesn’t offer.

However, DraftKings’ terms explicitly state “It may not be possible to cancel or modify a Commodity Transaction,” and the terms warn that during fast markets or volatile conditions, you may be unable to exit positions.

App and user experience

DraftKings Predictions displays pricing in American odds format as the primary indicator, with contract prices shown as secondary information. The look and feel is similar to Fanatics, aimed at sports bettors which could prove to be a mistake, when Kalshi and Polymarket offer such a unique experience.

The app lacks several features that competitors have:

Missing features:

• No order book visibility (cannot see other traders’ positions or activity)
• No historical price charts (cannot track odds/probability movement over time)
• No time-series data (cannot identify when sentiment shifts)
• No market depth indicators
• Limited contract rule documentation compared to Kalshi
• Cannot exit orders like other prediction markets

Available features:

• Categories organized by sport/market type in left sidebar
• “Games” vs “Futures” toggle for separating game lines from championship markets
• Trade slip shows share price, fees (itemized), estimated total, and payout calculations
• Quick-add buttons (+$5, +$10, +$20) for position sizing
• “Responsible Trading” link in top navigation

The app reflects DraftKings’ original sportsbook but lacks the analytical tools and data that active traders use to identify market inefficiencies or track sentiment changes.

User feedback and reviews

Most users were disappointed with the launch, noting the pricing was worse than competitors, it lacked features and was more expensive than competitors.

I thought fantatics was bad, Draftking predict currently offers the WORST pricing, worst features, and as far as i can tell NO in game for any prediciton market. Poly US continues to dominate the game here for the user https://t.co/22CAQde0GN pic.twitter.com/WoJuVlsw8c

— CSPTrading.eth (@CSP_Trading) December 19, 2025

How DraftKings trading fees work

DraftKings Predictions charges $0.01 per contract per side, plus applicable CME Group exchange fees. The “per side” structure means you pay when opening a position and again when closing it.

Fee breakdown:

• Opening 100 contracts: $1.00 commission to DraftKings + exchange fees
• Closing 100 contracts: $1.00 commission to DraftKings + exchange fees
• Total round-trip cost: $2.00 + exchange fees

CME Group exchange fee amounts were not disclosed at launch. Traditional CME event contract fees typically range from $0.01 to $0.05 per contract depending on contract type and membership status, though these rates may differ for retail customers accessing through an Introducing Broker.

DraftKings’ fee structure is competitive with Kalshi for small positions but lacks the fee cap that makes Kalshi more economical for traders placing 100+ contract orders. The absence of disclosed exchange fees makes it difficult to calculate true all-in costs.

DraftKings Predictions vs. Kalshi and Polymarket

DraftKings Predictions enters a prediction markets space with two established leaders (Kalshi and Polymarket) and newer entrants like Crypto.com and Robinhood. The platform’s competitive positioning centers on brand recognition and integration with DraftKings’ existing user base rather than market depth or feature innovation.

Deposit and withdrawal options

DraftKings Predictions did not disclose specific deposit or withdrawal methods at launch. All customer funds are held by Wedbush Securities (the platform’s FCM), not by DraftKings.

What we know from the Terms of Use:

Funds custody:

• Wedbush Securities holds all customer deposits in segregated accounts per CFTC regulations
• DraftKings cannot access, hold, or control customer funds
• Funds deposited in DraftKings Predictions cannot be transferred to other DraftKings products (Sportsbook, DFS, Casino, etc.)

Restrictions:

• DraftKings may place holds on deposits before funds are available for withdrawal
• The platform reserves the right to delay or refuse withdrawals “for any reason or no reason”
• Account suspension or closure prevents withdrawals (including inability to liquidate positions)

Deposit methods, fees, limits, withdrawal processing times, and minimum deposit requirements were not available at the time of publication.

Tax considerations

DraftKings Predictions provides tax reporting through two entities: Wedbush Securities (for trading activity) and DraftKings (for promotional bonuses/sweepstakes).

1099 forms you’ll receive:

From Wedbush Securities:

• 1099-INT: Interest payments (if applicable)
• 1099-MISC: Credits and rewards related to trading
• 1099-B: Transaction proceeds from crypto transfers

From DraftKings:

• 1099-MISC: Promotional bonuses and sweepstakes winnings

All tax documents are delivered electronically through your DraftKings Predictions account. You can request paper copies by emailing [email protected].

How profits are taxed

Event contracts traded on CFTC-regulated exchanges occupy uncertain territory for tax treatment. The IRS has not issued specific guidance on whether prediction market profits should be treated as:

1. Capital gains (like stock trading), where 100% of losses offset gains
2. Gambling income (like sports betting), where loss deductions are limited

This distinction matters significantly under current law. The One Big Beautiful Bill Act, signed July 4, 2025, caps gambling loss deductions at 90% starting January 1, 2026. A trader who breaks even ($1 million in wins, $1 million in losses) could owe roughly $37,000 in federal taxes if prediction markets are classified as gambling.

DraftKings operates as a CFTC-regulated financial intermediary rather than a sportsbook, which suggests trades should receive capital gains treatment. However, the IRS has not confirmed this interpretation. Tax specialists are divided on the issue.

Responsible trading and self-exclusion

DraftKings Predictions extends the company’s Responsible Gaming program to prediction markets through a “Responsible Trading” initiative. Users can access tools to manage their trading activity, set limits, and self-exclude.

Available tools:

• Deposit limits (monthly caps)
• Trading breaks (temporary restrictions, minimum 1 day)
• Voluntary opt-out (long-term self-exclusion, including permanent option)

Critical limitation: If you self-exclude, take a trading break, or have your account suspended, you cannot place new trades AND you cannot close existing positions. This means you cannot liquidate or reduce positions during self-exclusion periods.

Cross-platform exclusions: Self-exclusion on any DraftKings product (Sportsbook, Daily Fantasy, Casino) automatically excludes you from DraftKings Predictions. State self-exclusion programs also apply.

How to block DraftKings Predictions

DraftKings Predictions is not included in state gambling self-exclusion databases because it operates under CFTC financial regulation rather than state gaming commissions.

To block access:

1. Software blockers: Install Freedom ($7/month), Cold Turkey (free/$39), SelfControl (Mac, free), or LeechBlock (browser extension)
2. Block these domains: predictions.draftkings.com, help.draftkings.com, myaccount.draftkings.com
3. Delete the app from all devices
4. Screen Time restrictions: Enable on iOS/Android to prevent reinstalls
5. Email support: [email protected] to request account closure

Support resources:

• National Council on Problem Gambling: 1-800-522-4700
• Gamblers Anonymous: gamblersanonymous.org
• SAMHSA National Helpline: 1-800-662-4357

DraftKings states it “is not required by law or regulation to provide these Responsible Trading tools and does not assume any obligation by offering them.”

Our methodology

This review represents approximately eight hours of research conducted on December 19, 2025, including analysis of the DraftKings Predictions Terms of Use, press releases, fee schedules, and direct observation of the platform interface.

• Our process: We evaluate prediction markets across seven weighted categories: regulatory status (20%), fee structure (25%), yield on capital (15%), position limits (15%), funding options (10%), market coverage (10%), and platform experience (5%). These weights reflect what serious traders prioritize — regulatory clarity, competitive fees, and room to scale.
• Data sources: Information comes from DraftKings’ official documentation, CFTC filings, NFA registrations, Terms of Use, and direct platform observation. Where documentation was unavailable (deposit methods, withdrawal options, specific position limits), we noted these gaps rather than speculating.
• Platform limitations: DraftKings Predictions launched on December 19, 2025, limiting available data on actual user experience, settlement times, customer support responsiveness, and trading volume. Several operational details (deposit methods, withdrawal processing times, position limits) were not disclosed at launch.
• Update schedule: This page will be updated as DraftKings releases additional information about fees, funding options, market expansion, and operational details. Major updates will be noted with revision dates.

Last full review completed on December 19, 2025

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