British betting company bet365 has announced it has left the American Gaming Association (AGA). The Stoke-on-Trent based company has become the latest high-profile online sportsbook to exit the trade body.
The operator said the breakup is a result of AGA's focus on retail casinos and sportsbooks, but the move has generated speculation that it might be considering a move into the burgeoning prediction market space…
In November last year, FanDuel and DraftKings left the AGA. Days later, they announced the launch of FanDuel Predicts and DraftKings Predictions. Fanatics Betting and Gaming also withdrew and has since set up Fanatics Markets.
Trading or sports betting?
In the US, prediction markets are treated as trading markets, rather than gambling. As such, the Commodity Futures Trading Commission (CFTC) claims oversight of the platforms. The AGA have criticised the platforms, claiming they offer unregulated gambling in states where betting is still prohibited.
Highlighting research showing that 85% of Americans consider prediction contracts to be gambling, the group recently added further fuel to the fire. They, along with the Indian Gaming Association (IGA) criticized the CFTC, saying it is complicit in promoting illegal sports betting.
Several states have also initiated moves against prediction markets. Nevada, which relies heavily on betting and gambling revenue, has taken the strongest stance.
The Nevada Gaming Control Board's Chairman, Mike Dreitzer, said the platforms "facilitate unlicensed gambling" while successfully applying for a temporary ban on Kalshi.
Other states, including Arizona, Pennsylvania, and Tennessee, have either already attempted, or are in the process of making, similar moves.
Despite state and federal lawmakers being at loggerheads over the issue, prediction markets continue their rise. They generated approximately $50bn in revenue in 2025 and an estimated $2bn during this year's Super Bowl.
Kalshi and Polymarket – both dedicated prediction platforms - are considered the leading names in the industry. But sports betting companies have taken notice.
Companies like Kalshi and Polymarket point to the design of their platforms as being the driver of their success.
Prediction markets are binary markets. Players, or traders as the CFTC would have you call them, have two options on a single trade. This makes them much easier to understand than sports betting markets, which offer an almost baffling array of main, side, and even parimutuel bets.
Are predictions bet365's next move?
Prominent bookie bet365 has yet to comment on prediction markets, stating that its reason for leaving the AGA fold is the group's focus on retail sports betting and casino gambling companies. The company is still a member of the Sports Betting Alliance (SBA), along with the other three defectors.
Like bet365, the SBA has remained tight-lipped on the rise of prediction platforms – hardly surprising considering how many of its members are adding the new metric to their offerings.
According to its website, bet365's sportsbook is currently active in 15 states, having recently launched in Missouri in December 2025. It also offers online casino gaming in Pennsylvania, but not sports betting.
It may see a prediction market launch as a viable route into more states.
