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Flutter discusses planned growth in Nevada and reported negotiations with Kalshi

Flutter Entertainment executives have hinted at potential growth of their FanDuel brand in Nevada, although no concrete plans are currently in place. Additionally, they have acknowledged speculation regarding a potential partnership with Kalshi, a prediction-market company embroiled in a legal...

Flutter discusses Nevada's broadening operations and alleged negotiations with Kalshi
Flutter discusses Nevada's broadening operations and alleged negotiations with Kalshi

Flutter discusses planned growth in Nevada and reported negotiations with Kalshi

In the bustling world of sports betting, a significant legal battle is unfolding in Nevada. The prediction market platform, Kalshi, has been granted a federal preliminary injunction, allowing it to continue its sports event contract operations in the state, despite a cease-and-desist order issued by the Nevada Gaming Control Board (NGCB).

The NGCB argues that Kalshi's unlicensed gambling activities violate Nevada's state laws. However, Kalshi counters that the Commodity Exchange Act (CEA) federally preempts Nevada’s gaming laws, giving the Commodity Futures Trading Commission (CFTC) exclusive jurisdiction over its prediction market contracts, including sports event contracts.

The legal battle between Kalshi and the NGCB is far from over. Nevada asserts its police powers and state gaming regulations give it authority over gambling activities within its borders, and disputes the idea that federal law overrides its jurisdiction. The court has not yet made a final ruling, and the outcome will be crucial for the future regulatory framework of prediction markets offering sports-betting-like contracts within Nevada and beyond.

Meanwhile, in the world of sports betting giants, Flutter, the parent company of FanDuel, continues to thrive. In 2024, Flutter reported a 19% increase in revenues and a 26% growth in adjusted EBITDA over the previous year. In the first quarter of 2025, Flutter reported continued strong group revenue growth of 8%, with an impressive 20% growth in group adjusted EBITDA.

Flutter's growth story includes the purchase of Boyd Gaming's 5% interest in FanDuel for $1.75 billion. FanDuel, which is licensed in Nevada to provide information services, has a manufacturers and distributors license that hasn't been used in Nevada. FanDuel provides branding and oddsmaking at the Fremont Hotel & Casino, a Boyd Gaming property in downtown Las Vegas.

It's worth noting that to operate a sportsbook in Nevada, a company must have a brick-and-mortar property. In 2024, Flutter reported revenues of $14 billion and adjusted EBITDA of $2.4 billion. Flutter was listed on the New York Stock Exchange in January 2024.

As the legal battle between Kalshi and the NGCB continues, the future of sports betting in Nevada remains uncertain. Yet, one thing is clear - the sports betting industry in Nevada and beyond is witnessing rapid growth and transformation.

Sports-betting companies, such as Flutter, are experiencing significant growth in the sports betting industry, with FanDuel, a subsidiary of Flutter, reporting increased revenues and adjusted EBITDA. In stark contrast, the legal status of sports-betting prediction platforms like Kalshi is in question, with a battle between Kalshi and the Nevada Gaming Control Board (NGCB) over federal and state regulations ongoing, potentially impacting its continuity and the future regulatory framework of similar platforms operating in Nevada and beyond.

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