The governor of North Carolina, Josh Stein, has signed an executive order to ban state employees from trading on prediction markets using insider information obtained from...
Underdog to exit North Carolina betting market
Underdog is exiting the North Carolina sports betting market and will cease betting on December 16, 2025, with full sportsbook operations ending on December 17, 2025.
The operator plans to focus on daily fantasy sports (DFS) and prediction market products.
The company’s platform is unified and combines sportsbook and daily fantasy sports functionality, so North Carolina users will continue to access their balances through the same accounts.
Underdog’s decision comes after facing regulatory backlash in the US for its involvement in prediction markets. While North Carolina is a relatively new market, the problems with compliance have made it hard to remain in operation.
On December 5, 2025, Arizona regulators deemed Crypto.com’s sports event contracts illegal gambling. As a result of Underdog’s partnership with Crypto.com, the Arizona Department of Gaming informed Underdog that the company’s fantasy sports contest operator license would be revoked.
Although Underdog has held a license since August 23, 2021, regulators believe its association with prediction market-style products falls outside permitted fantasy sports activity.
The recent regulatory actions in Arizona show lawmakers’ concerns about blurring the lines between traditional gaming frameworks and newer products like prediction markets.
Underdog, the sports betting, fantasy, and prediction markets operator, has announced the acquisition of CFTC-registered Aristotle Exchange on March 9, 2026.Aristotle...
