US gaming operators are contemplating the introduction of new parlay-style products in the expanding prediction markets sector. This move has the potential to transform fan interaction with the Super Bowl, yet operators are cautious about possible regulatory attention and must decide if the increased engagement justifies the risks.
Parlays Present New Engagement Opportunities
FanDuel Predicts and DraftKings Predictions seem ready to offer multi-leg football contracts marketed as “combos.” This initiative follows their exchange partner, CME Group, self-certifying a new multi-leg football contract with the Commodity Futures Trading Commission (CFTC). This filing allows for bundled outcomes linked to the Super Bowl, assuming no regulatory objections arise.
CME functions as a designated contract market where customers access contracts via brokers. FanDuel Predicts acts as a futures commission merchant, while DraftKings Predictions serves as an introducing broker. Currently, both platforms allow users to trade single-outcome contracts on sports events. The addition of multi-leg offerings marks a significant expansion opportunity.
Parlays have long been a staple of traditional sportsbooks, enabling users to combine multiple game results into a single bet with a higher potential payout. However, adapting this concept to prediction markets involves various challenges. While sportsbooks determine parlay prices internally, prediction platforms must depend on supply and demand, complicating combo contracts.
Implementation Faces Unique Challenges
It’s uncertain whether users can create custom parlays or if only pre-made options will be available. User-created options could lead to liquidity issues. Kalshi addresses this with a request-for-quotes system allowing institutional market makers to respond after a trader initiates a custom contract.
This movement aligns with a broader industry trend toward multi-leg event contracts. Robinhood recently expanded its offerings with Kalshi’s parlay-style products, indicating that mainstream audiences are ready for advanced prediction tools. However, Flutter Entertainment remains cautious. CEO Peter Jackson previously indicated that FanDuel prediction market parlays might launch in 2026, suggesting a gradual rollout.
With Super Bowl fan enthusiasm increasing, operators have limited time to assess demand, test their systems, and evaluate regulatory risks. Introducing Super Bowl multi-leg event contracts could further blur the distinction between sportsbooks and prediction markets. Yet, such a step might also invite increased scrutiny, particularly as platforms like Kalshi face growing legal challenges.
- SCCG Management. The Gambling Industry’s Global Connector. Access Here.
- Source: SCCGManagement.com