SiaPredict DailySeptember 8, 2026

Today's top 4

1. 1
   Regulatory

   Underdog's exchange subsidiary sues Massachusetts AG Campbell over DFS-versus-exchange conflict

   Underdog Exchange DCM, Inc. (formerly Aristotle Exchange DCM) filed a federal suit against Massachusetts Attorney General Andrea Campbell in the U.S. District Court for the District of Massachusetts on September 8, following Underdog's September 5 decision to surrender its daily-fantasy-sports licenses in Massachusetts and six other states rather than continue offering DFS contests alongside its CFTC-regulated event contracts. The filing follows the same federal-preemption template other CFTC-registered operators, including Novig, have used against Campbell.

   CourtListener

   Sia's Take

   This action tests whether federal registration insulates the exchange business even after a company voluntarily exits an adjacent, clearly state-regulated product line. While lawsuits such as this one are unlikely to be addressed in the likely Supreme Court ruling due next year, that ruling will weigh heavily on whether prediction market operators can solely rely on their CFTC-regulated contracts to operate in all 50 states without state and local oversight.

2. 2
   IndustryCatch-up

   Underdog surrenders daily-fantasy-sports licenses in seven states to keep its CFTC-regulated exchange

   Underdog founder and CEO Jeremy Levine said on September 5 that Underdog will shut down its Drafts daily-fantasy-sports contests in Massachusetts, Maryland, Michigan, Mississippi, New Jersey, Pennsylvania, and Ohio around the NFL's September 9 kickoff, after each state (Mississippi excepted) took the position that Underdog could not offer both DFS contests and its CFTC-registered event contracts under state law. The move prioritizes Underdog's exchange business over its legacy fantasy-sports product in the affected states and sets up the September 8 suit against Massachusetts (Item 1) as the company's response to that same conflict.

   RotoWire

   Sia's Take

   This action removes yet another prediction market operator from the potential purview of state and local jurisdictional oversight. Such actions by prediction market operators will undoubtedly face legal backlash from state and local regulatory agencies. Prediction market operators should be prepared to operate from a compliance perspective regardless of which way this legal battle ultimately goes.

3. 3
   Industry

   Robinhood takes equity stakes in Crypto.com and its OG.com prediction-markets spinout

   Robinhood and OG.com announced a multiyear partnership naming OG.com, Crypto.com's CFTC-registered exchange and clearinghouse spinout, as an infrastructure and clearing partner for Robinhood's prediction-markets business, with contracts rolling out on the Robinhood app in phases starting September 8. Robinhood is taking undisclosed minority equity stakes in both Crypto.com and OG.com, priced in line with Citadel Securities' prior investment valuing Crypto.com at roughly $20 billion and OG.com at $5 billion, extending a pattern where Robinhood now holds equity in two of its three contract-supply venues (OG.com and its Rothera joint venture with Susquehanna) while its original Kalshi partnership remains supply-only.

   PR Newswire
4. 4
   IndustryCatch-up

   Prediction-market data startup Oddpool raises $3 million seed round, partners with Kalshi

   Oddpool, a Y Combinator-backed startup building what it calls an institutional data layer for prediction markets, closed a $3 million seed round and struck a partnership with Kalshi to build institutional data tooling on top of the exchange. The product normalizes trade and order-book data across Kalshi and Polymarket under universal tickers, targeting institutions and researchers who want to treat prediction markets as a professional asset class rather than a retail betting product.

   The SaaS News