Prediction markets and sports betting: How this UK exchange is trying to do both in the U.S.

Cnbc · 🇺🇸 public United States · Aug 15, 2026 · 540 words · By Ananya Chetia

Industry Ethics and Compliance Market Entry Strategy Regulatory Jurisdiction Conflict

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What to know about Industry Ethics and Compliance

Smarkets, a UK-based betting exchange, is making its way into the U.S.

Claims checked 13

Techniques found 2

Topics 3

Coverage spectrum

Coverage gap: Low Left coverage

Left0%

Center75%

Right25%

4 sources compared across this story cluster. This is an eFinder estimate from indexed source coverage, not an editorial rating.

What happened

Smarkets, a UK-based betting exchange, is making its way into the U.S.

Why it matters

The company, which was founded in 2008, filed for a license with the Commodity Futures Trading Commission in March.

Common ground

The platform — which has over $60 billion in lifetime trading volume — also has pending applications to operate as a sportsbook in Illinois, Iowa and Michigan, according to Smarkets founder Jason Trost.

Perspective signals

The tension in the story is sharpened by Loaded Language, Name Calling / Labeling: language that can make the dispute feel more urgent, personal, or adversarial than the underlying facts alone.

Follow-up questions

What new context would change how readers understand this Industry Ethics and Compliance story?
What evidence would most clearly confirm or weaken the claim that The CFTC has hit back, however, suing multiple states to block efforts looking to regulate the platforms?
How does this story connect Industry Ethics and Compliance with Market Entry Strategy over the next few days?

open_in_new Read the original article: https://www.cnbc.com/2026/08/15/prediction-markets-and-sports-betting-how-this-u…

psychologyPropaganda Techniques Detected

eFinder identified 2 propaganda techniques in this article. These signals explain how wording, emphasis, or missing context can shape a reader's interpretation.

warning

Loaded Language 80% confidence

Using words with strong emotional connotations to influence an audience.

Found in this article: eFinder flagged this technique because the story's framing or source language may guide readers toward a particular interpretation. Review the claim checks and evidence below to separate what is directly supported from what is implied by wording or emphasis.

Why it matters: Recognizing loaded language helps readers compare the article's framing with the underlying facts and with coverage from other sources.

warning

Name Calling / Labeling 70% confidence

Attaching a negative label to a person or group to reject them without evidence.

Why it matters: Recognizing name calling / labeling helps readers compare the article's framing with the underlying facts and with coverage from other sources.

fact_checkClaims Checked

eFinder analyzed this article and checked 13 claims against available evidence, cross-references, web search, and Wikipedia. Here is what the fact-checking layer found.

check_circle Corroborated 8

schedule Pending 3

cancel Disputed 1

help Insufficient Evidence 1

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Claim 1: “The CFTC has hit back, however, suing multiple states to block efforts looking to regulate the platforms.”

CORROBORATED

Web search results explicitly state that the CFTC has filed lawsuits against multiple states (Arizona, Wisconsin, New York) to override state enforcement against prediction platforms.

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web search NEUTRAL — State-level oversight. Multiple states have initiated legal or regulatory enforcement — ranging from charges to cease-and-desist orders — against Kalshi, the US's key prediction market, in an attempt …
https://www.businessinsider.com/kalshi-ceo-lawsuits-disrupte…

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web search NEUTRAL — At the same time, the CFTC has filed lawsuits against multiple states, including Arizona, Wisconsin and New York, seeking to override state enforcement actions against the platforms.
https://www.pymnts.com/cpi-posts/minnesota-becomes-first-sta…

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web search NEUTRAL — State leaders have argued that the markets are dodging regulations and failing to pay state taxes — estimated to total at least $2 billion a year in lost revenue, according to the Tax Foundation, a no…
https://www.nytimes.com/2026/08/27/technology/prediction-mar…

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Claim 2: “Smarkets, a UK-based betting exchange, is making its way into the U.S. by pursuing two separate avenues.”

CORROBORATED

Multiple web sources confirm Smarkets is a UK-based betting exchange pursuing two regulatory paths in the US: a federal CFTC license and state-level sportsbook licenses.

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wikipedia NEUTRAL — Queens Park Rangers Football Club, which can be abbreviated as QPR, is a professional association football club based in Shepherd's Bush / White City, West London, England. The team currently competes…
https://en.wikipedia.org/wiki/Queens_Park_Rangers_F.C.

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web search NEUTRAL — Smarkets is a UK-based betting exchange and prediction market founded in 2008.Federal and state licensing approach. Smarkets is pursuing two parallel regulatory tracks in the United States: CFTC DCM +…
https://predictionmarkets.us/smarkets-prediction-markets

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web search NEUTRAL — smarkets promotion code. Smarkets has been operating in the United Kingdom since 2008. Using a minimal interface with limited frills for betting, and a wide selection of markets, it’s been a venerable…
https://www.fantasylabs.com/articles/smarkets/

+ 1 more evidence source

cancel

Claim 3: “The platform — which has over $60 billion in lifetime trading volume — also has pending applications to operate as a sportsbook in Illinois, Iowa and Michigan”

DISPUTED

There is a contradiction regarding lifetime trading volume: one source claims 'more than $60 billion', while another (Simplify Jobs) claims 'approximately $50 billion'. Pending applications in Illinois, Iowa, and Michigan are corroborated.

travel_explore

web search NEUTRAL — It also has pending sportsbook license requests in Illinois, Iowa, and Michigan, and it already runs one in Indiana. People have traded more than $60 billion on Smarkets.
https://www.briefs.co/news/smarkets-is-taking-two-routes-int…

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web search NEUTRAL — Does Smarkets have a mobile app? Yes, it does. Smarkets has introduced mobile apps a couple of years ago, so players using both iOS and Android devices can join the betting experience while on their m…
https://www.betopin.com/sportsbook/smarkets/

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web search NEUTRAL — Founded in 2008, Smarkets has processed approximately $50 billion in lifetime trading volume and currently handles $3 billion annually whilst operating profitably.The company processes approximately $…
https://simplify.jobs/c/Smarkets

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Claim 4: “Smarkets already operates as a sportsbook in Indiana.”

CORROBORATED

While the 'Evidence for claim 8' section says no evidence found, the evidence provided for claim 0 and claim 2 explicitly states that Smarkets 'already runs one [sportsbook] in Indiana'.

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Claim 5: “The Susquehanna-backed platform applied as a sportsbook in Illinois and Michigan”

CORROBORATED

Multiple sources confirm Smarkets is backed by Susquehanna and has pending sportsbook license requests in Illinois and Michigan.

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web search NEUTRAL — Smarkets files for CFTC license to enter U.S. prediction markets, bringing exchange-style trading and transparent pricing backed by Susquehanna....
https://www.globenewswire.com/news-release/2026/03/09/325222…

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web search NEUTRAL — Smarkets' differentiator, Trost argues, is its hybrid architecture. The company built SBK, a sportsbook interface that runs on top of its exchange matching engine. Traditional sportsbooks build margin…
https://www.forbes.com/sites/boazsobrado/2026/03/09/susqueha…

help

Claim 6: “Sports betting platforms like DraftKings and FanDuel have launched prediction markets late last year.”

INSUFFICIENT EVIDENCE

No evidence was provided in the search results regarding DraftKings or FanDuel launching prediction markets in late 2023.

schedule

Claim 7: “the platform runs in four European countries, including Ireland, Malta and Sweden”

PENDING

This claim was extracted as a checkable statement from the article. eFinder labels it pending based on the available evidence and source context shown below.

schedule

Claim 8: “CNBC and Kalshi have a commercial relationship that includes customer acquisition and a minority investment.”

PENDING

This claim was extracted as a checkable statement from the article. eFinder labels it pending based on the available evidence and source context shown below.

schedule

Claim 9: “During last week's earnings call, FanDuel's parent company, Flutter, noted its prediction market platform can gain customers faster in states where sportsbooks are still under scrutiny.”

PENDING

This claim was extracted as a checkable statement from the article. eFinder labels it pending based on the available evidence and source context shown below.

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Claim 10: “The company, which was founded in 2008, filed for a license with the Commodity Futures Trading Commission in March.”

CORROBORATED

Three independent web sources confirm Smarkets was founded in 2008 and filed for a CFTC license in March (specifically March 9, 2026).

travel_explore

web search NEUTRAL — LONDON, March 09, 2026 (GLOBE NEWSWIRE) -- Smarkets, one of the UK's leading prediction markets, has filed for a license with the U.S. Commodity Futures Trading Commission (CFTC), marking its formal e…
https://finance.yahoo.com/news/smarkets-backed-trading-giant…

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web search NEUTRAL — Smarkets, backed by trading giant Susquehanna, files for CFTC license to enter U.S. Prediction markets.ABOUT SMARKETS Founded in 2008, Smarkets operates one of the world's largest regulated prediction…
https://simplify.jobs/c/Smarkets

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web search NEUTRAL — Smarkets has applied to the U.S. Commodity Futures Trading Commission (CFTC) for both a DCM and DCO license.Founded in 2008, Smarkets runs one of the largest prediction exchanges in the UK today. It r…
https://www.banklesstimes.com/articles/2026/03/10/smarkets-a…

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Claim 11: “Last month, 44 state attorneys general also wrote that the federal agency cannot be the exclusive regulator of sports-related event contracts found on exchanges.”

CORROBORATED

Two independent sources confirm that 44 state attorneys general signed a letter stating the CFTC lacks authority to be the exclusive regulator of sports-related prediction markets.

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web search NEUTRAL — Attorneys general from 44 states said that the CFTC lacks authority to regulate sports-related prediction markets. The group of AGs sent a letter to the CFTC, urging the agency to draft new rules cons…
https://www.theblock.co/post/410013/state-attorneys-general-…

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web search NEUTRAL — In New Mexico, Attorney General Raúl Torrez sued Kalshi in June for bypassing the state’s regulated system that protects consumers, ensures accountability, and respects tribal sovereignty. The CFTC fi…
https://sccgmanagement.com/sccg-articles/2026/08/13/novig-ch…

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web search NEUTRAL — Forty-four state attorneys general want the same thing from one federal regulator. In the third week of August, forty-four state attorneys general signed a letter to the CFTC.
https://gambity.com/article/tradingdesk/state-attorneys-gene…

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Claim 12: “New York filed a lawsuit against the platform [Kalshi] in July.”

CORROBORATED

Multiple sources, including The Block and The Guardian, confirm New York filed a lawsuit against Kalshi for running an illegal gambling operation.

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wikipedia NEUTRAL — Kalshi Inc. is a prediction market platform based in Manhattan, New York City, that launched in July 2021. The platform is used primarily for sports betting, which constitutes more than 90% of site ac…
https://en.wikipedia.org/wiki/Kalshi

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wikipedia NEUTRAL — The following is a list of events of the year 2026 in the United States, as well as predicted and scheduled events that have not yet occurred. July 4, 2026 was the 250th anniversary of the signing of …
https://en.wikipedia.org/wiki/2026_in_the_United_States

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wikipedia NEUTRAL — George Anthony Devolder Santos (born July 22, 1988) is an American former politician and convicted fraudster who served as the U.S. representative for New York's 3rd congressional district from Januar…
https://en.wikipedia.org/wiki/George_Santos

+ 3 more evidence sources

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Claim 13: “Just like prediction market platforms Kalshi and Polymarket, sports also drives Smarkets' volume”

CORROBORATED

Evidence confirms that sports drive significant activity for Kalshi and Polymarket, and Smarkets is explicitly described as a betting exchange/prediction market focused on sports and political events.

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web search NEUTRAL — Kalshi is a regulated exchange & prediction market where you can trade on the outcome of real-world events. Buy and sell Event Contracts.Trading on Kalshi involves risk and may not be appropriate for …
https://kalshi.com/

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web search NEUTRAL — "Kalshi" growth chart. Sports drive most of the activity.But Kalshi hosts a larger volume of trades overall. Can you use Kalshi and Polymarket for genuine investments? The received wisdom when it come…
https://explodingtopics.com/blog/kalshi-polymarket

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web search NEUTRAL — Trading is blocked in the United States on polymarket.com. Switch to polymarket.us to trade prediction markets.Crypto Prices. Commodities. 24hr Volume. All. Active. Hide sports.
https://polymarket.com/

info Disclaimer: This analysis is generated by AI and should be used as a starting point for critical thinking, not as definitive truth. Claims are verified against publicly available sources. Always consult the original article and additional sources for complete context.