On Friday, Underdog CEO Jeremy Levine joined CNBC to announce the launch of the company’s proprietary prediction market exchange. Underdog’s official entry into the US market under its own CFTC-regulated exchange comes after it acquired Aristotle Exchange earlier this year.
“Today, we are launching our own exchange,” proclaimed Levine in a Friday interview with CNBC The Exchange host Contessa Brewer. “We are really proud and excited to be launching our own federally regulated exchange over our DCM and DCO.”
Although Underdog has technically been involved in the US prediction market space since September 2025, it partnered with Crypto.com to host those contracts. During that span, the company has achieved roughly $6.5 billion in notional trading volume, making it the third most popular brand name for event contracts in the US, behind Kalshi and Robinhood.
“Now that we’re launching on our exchange, what’s going to come over in the next few months as we head into NFL season, it’s going to be a huge leap and a lot more we can offer to our customers,” said the Massachusetts entrepreneur. Underdog currently offers US-regulated event contracts on prediction markets including sports, politics, global affairs, and entertainment awards.
Levine founded StarStreet, a DFS platform, upon leaving college and subsequently sold it to DraftKings. He later introduced the “best ball” format into DFS products via DRAFT, which he then sold to Paddy Power Betfair (now a part of Flutter Entertainment).
However, Underdog’s own “pick ‘em” Daily Fantasy Sports contests are currently geoblocked in 14 US jurisdictions. Additionally, Underdog’s DFS wing is involved in ongoing legal battles with a number of states.
The prediction market service is entirely separate from Underdog’s DFS products and is now available in roughly two-thirds of the country. Levine credits customer service along with Underdog’s ability to create a platform that customers enjoy using as major factors that have contributed to its trading volume, which has outperformed DraftKings Predictions, Fanatics Markets, and FanDuel Predicts since last September.
“It’s a thing we always focus on. It’s why we started this company. We just believed there was so much more to be built for sports fans in America. We started the company six years ago and, six years in, we’ve been the fastest growing company in the history of this category in terms of revenue, in terms of customer growth, and we think it’s going to continue,” stated Levine on Friday. “It’s about building the best product for sports fans using whatever regulatory frameworks are available.”
In the final segment, Levine says that the 2026 World Cup has been “amazing” for the newly regulated exchange platform. “It’s so fun to see soccer really get going in America, capture all this attention, and I have friends coming out of the woodwork.” Underdog’s trading volume has soared as a result of interest in the World Cup, according to Levine.
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