Crypto.com is expanding into prediction markets with integrations for sports, entertainment, and politics, despite ongoing legal disputes with U.S. state authorities. The Singapore-headquartered exchange views this new venture as crucial to its business serving over 152 million users. Executives remain optimistic about federal court rulings in their favor.
Crypto.com announced a partnership with entertainment news outlet Hollywood.com in November, aiming to embed prediction markets directly into articles. Users will be able to bet on events like outcomes of films starring George Clooney while reading interviews. "Oscar parties are massive, right?" said Travis McGhee, Crypto.com's global head of capital markets. "I’ve been to a few parties where you’re constantly talking about who’s going to win Best Actor, who’s going to win Best Actress. You’re constantly trying to forecast."
The platform is pursuing tie-ups with Donald Trump’s social media platform Truth Social and MyPrize for event-based wagering on sports, pop culture, politics, and financial markets. Prediction markets have historically allowed bets on events such as the U.S. presidential election or the discovery of a missing submarine. After a post-election dip, volumes rebounded; weekly notional volume reached roughly $2 billion in November and $3 billion last week, driven mainly by sports, per Dune Analytics data.
However, Crypto.com faces legal hurdles. Registered with the Commodity Futures Trading Commission (CFTC), the firm disputes state claims that its sports-event contracts constitute unlicensed betting. In May, Nevada's Gaming Control Board issued a cease-and-desist letter. Crypto.com sued in June, but a federal judge denied a preliminary injunction in October. The company halted offerings in Nevada on November 3 and is appealing. Similar orders came from Ohio and Maryland authorities. Kalshi, another leader, is in comparable disputes.
Despite this, McGhee is undeterred: "I don’t [see it as an obstacle]. I firmly believe that event contracts are subject to the exclusive jurisdiction of the CFTC. At the end of the day, the federal courts will rule in our favour." He targets launches of integrations with Hollywood.com, Truth Social, and MyPrize by January 2026. "I look at this expansion into another asset class that complements, in a lot of ways, crypto," McGhee added, noting the platform's 152 million users. "Providing them that access to crypto, while simultaneously providing them access to new opportunities, is important to our business."