Are FanDuel Prediction Markets Safe to Trade On?

FanDuel is available nationwide, though what you can access depends on where you are. In states where FanDuel Sportsbook operates, you get the sports betting experience. In most other locations, eligible customers can access FanDuel Predicts, our prediction market trading experience. FanDuel operates in compliance with applicable laws and regulatory requirements, so if neither product is available in your location, you won't be able to access them.

Know Who Regulates Your Contracts

You open your account with FanDuel Prediction Markets LLC, a joint venture between FanDuel Group and CME Group. It's registered as a futures commission merchant with the Commodity Futures Trading Commission (CFTC) and is a member of the National Futures Association (NFA). The CFTC and NFA have rules for offering contracts and for the protection of customers.

See What Federal Regulation Means for You

You'll notice the oversight at signup: you verify your identity, and federal regulations require questions about your trading experience, history, employment, and finances before you're authorized to deposit and trade.

Regulation also shapes how you should read a price. A Contract's price reflects the market's assessment of the probability that the event occurs, not a guarantee.

Compare That With an Unregulated Site

Because FanDuel Prediction Markets LLC is a registered firm, you can look up its registration, disciplinary or regulatory history, and financial information in NFA BASIC. If you choose a company that isn't registered with the CFTC, you may have fewer protections.

Check Any Platform Yourself

You don't have to take our word for any of this. The regulators keep public records you can search before you deposit anywhere:

• Search any firm in NFA BASIC to see its registration, disciplinary or regulatory history, and financial information.
• Check registration with the CFTC, and browse its live list of designated contract markets to see every registered exchange.

Understand How Your Funds and Positions Are Handled

Prediction market Contracts on FanDuel are fully margined: you pay the full Premium up front and owe nothing further on the Position, so you can never lose more than you put in. FanDuel Prediction Markets LLC is not FDIC insured or SIPC protected.

Understand the Risk of Loss

A Position that can pay out in full can also lose its entire Premium if the outcome goes against you. Prices can move against your Position before an event resolves, some Contracts have limited liquidity, which can make it hard to exit at the price you intended, and cash out is available only on select markets. The Risk Disclosures cover each of these in detail; read them before you place your first Order.

These tools help you manage risk before and during trading:

• Size your Positions. Trade only with an amount you can afford to lose entirely.
• Set limits. Our Consumer Protection tools let you set Global Deposit Limits across all FanDuel products, use Deposit Alerts to set an amount limit for a specific time period, and self-exclude from My Account > User limits.
• Get support. If your activity is becoming a problem, call 1-800-522-4700.

Get Answers Before You Trade

Questions about signup, trading hours, early settlement, or how cash out works?