DraftKings acquires predictions platform Railbird

DraftKings announced Tuesday that it has acquired the prediction platform Railbird while confirming upcoming plans to launch DraftKings Predictions to go along with its betting and fantasy sports products.

No financial terms were disclosed.

The moves put DraftKings in the predictions market that operates with event contracts.

DraftKings Predictions will allow users to trade "contracts" that are federally licensed by the Commodity Futures Trading Commission on real-world outcomes in finance, culture and entertainment.

"We are excited about the additional opportunity that prediction markets could represent for our business," DraftKings CEO and co-founder Jason Robins said. "We believe that Railbird's team and platform -- combined with DraftKings' scale, trusted brand, and proven expertise in mobile-first products -- positions us to win in this incremental space."

DraftKings said in a release that contract offerings could expand beyond finance, culture and entertainment.

"This is a transformational moment for our company, and we are thrilled to be a part of the future of DraftKings," Railbird CEO and co-founder Miles Saffran said. "DraftKings' scale and leadership in the industry creates meaningful opportunities for our team and platform."

The DraftKings Predictions mobile app is set to launch "in the coming months."

--Field Level Media