It didn’t take long for Nevada’s gaming regulators to warn Flutter Entertainment about FanDuel’s new partnership with CME Group. Through the partnership, FanDuel intends to offer event trading contracts for non-sporting events.
They only announced the deal on Wednesday, and the Nevada Gaming Commission (NGC) is already seeking an explanation from Flutter officials. The regulator has concerns about the potential rollout of sports contracts in the future, with the regulator already embroiled in a legal battle with Kalshi over its prediction market offering.
FanDuel is initially planning to offer contracts on economic-related events like the S&P 500 and the price of gold.
company hasn’t definitively decided on the exact type of contracts it will offer
Flutter Entertainment Private Counsel Erica Okerberg replied to the concerns in Nevada by saying that the company hasn’t definitively decided on the exact type of contracts it will offer, when they will do so, and in what jurisdictions they will be available.
She noted that the arrangement with CME is “in line with legal and regulatory requirements” and is a good way for them to explore a good business opportunity.
Okerberg confirmed that the internal compliance committee at Flutter already reviewed the plans and had discussions with the Nevada Gaming Control Board. Once a final plan regarding products and the types of products is generated, Flutter will share its plans with the regulators.
