Polymarket CEO Shayne Coplan blasted traditional sportsbooks as a "scam" at Axios BFD and said he expects the Supreme Court to eventually decide whether prediction markets can offer their version of sports betting.
Why it matters: Prediction markets have enjoyed a string of legal wins allowing them to offer sports betting via "events contracts" in the handful of states that haven't legalized gambling.
Driving the news: "I think at some point" the Supreme Court will settle the matter," Coplan said.
- Coplan argued that the traditional sportsbooks "all rip off the consumer" and argued that "none of them innovate."
- He also criticized the current "patchwork" of state-by-state regulations on sports gaming and what he called the American "duopoly" of sportsbooks, DraftKings and FanDuel, for taking action against winning bettors.
- Coplan acknowledged in the interview with Axios' Dan Primack that Polymarket doesn't currently make money but said "eventually we're going to take a cut."
The other side: A DraftKings representative had no immediate comment. A representative for FanDuel owner Flutter did not immediately respond to Axios' request for comment.
- The Massachusetts Gaming Commission recently reported that 0.64% of bettors in the state are subject to sportsbook betting limits to prevent them from winning too much, according to SBC Americas.
- Both DraftKings and FanDuel have recently taken steps to launch their own prediction market products in states where they don't currently hold sports gambling licenses.
Friction point: Recent sports gambling scandals have raised concerns about easy access to betting compromising game integrity.
- Coplan hinted that Polymarket has plans to combat corruption in sports.
- "We've got some stuff in the works that I think will be a great improvement on what's existing," he said.
