Players' Lounge has joined forces with ProphetX to introduce federally regulated sports prediction markets on its platform. This collaboration allows Players' Lounge users to access ProphetX's prediction market exchange, enabling them to trade event contracts related to NFL games, NBA player props, tournament brackets, championship futures, international soccer, and various other sports.
The prediction markets will function on ProphetX's infrastructure, which is recognized as a designated contract market (DCM) and derivatives clearing organization (DCO) regulated by the Commodity Futures Trading Commission (CFTC).
In contrast to conventional sportsbooks, ProphetX operates as an exchange where users can directly buy and sell contracts. This model empowers market participants to determine prices rather than relying on a bookmaker to set odds.
Jake Benzaquen, Co-Founder and Chief Commercial Officer of ProphetX, emphasized that this partnership introduces exchange-based prediction markets to the community of competitive gamers and sports enthusiasts associated with Players' Lounge. He stated, “That community deserves access to the most competitive, transparent markets on the planet — and that's exactly what ProphetX provides. This isn't sports betting dressed up in new clothes. It's a federal exchange where the crowd sets the price and every participant is on a level playing field.”
Austin Woolridge, CEO of Players' Lounge, noted that this integration aligns perfectly with the platform's commitment to skill-based competition, offering users a regulated marketplace for trading sports outcomes. “Prediction markets on ProphetX are a perfect fit for what Players' Lounge is all about: putting your knowledge to work in a fair, skill-driven environment,” Woolridge remarked. “We’re excited to give our community a regulated, exchange-based way to trade on the games they care about most.”
The companies highlighted that this partnership arrives at a time when prediction markets are gaining momentum in the US, following significant regulatory advancements and integrations by various financial and gaming platforms. They pointed to Kalshi's pivotal court ruling that established federal CFTC oversight, along with the swift launches of prediction market integrations by Robinhood, Coinbase, PrizePicks, and Webull as key factors contributing to the sector's growth.
Since its inception in 2016, Players' Lounge has processed over $250 million in skill-based gaming wagers, catering to players across popular titles such as Madden NFL, NBA 2K, Call of Duty, and Fortnite.
Eligible users in supported US jurisdictions can now engage in prediction market trading following Know Your Customer (KYC) verification. The companies also announced plans to introduce additional products and markets ahead of the upcoming NFL season.