Prediction markets disrupting sports the way PASPA overturn changed betting eight years ago

Disruption is a popular buzzword in the business world, but the actual scale of impact on society can sometimes be overstated.It would not be overstating things to say that sports betting has been one of the most significant disruptors in modern sports history.It has been eight years since the United States Supreme Court struck down the Professional and Amateur Sports Protection Act (PASPA), which completely upended the long-established buffer between watching sports and betting on them.At that time, Daily Fantasy Sports was dominating the gaming space and its two titans, DraftKings and FanDuel, pivoted to sports betting and quickly became its leaders.In less than a decade, sports betting went from being exclusive to one state to being available in 39 states, with Missouri as the most recent addition to the landscape.Now, a bet is just a few clicks away on the phone, and sportsbook advertisements are as common as fast food commercials.As it turns out, even the disruptors can be disrupted.

Eight years into a world where sports betting has rapidly expanded across the country, prediction markets have become the newest entrant looking to shake things up.In a recent American Gaming Association survey, 81 percent of polled gaming executives see prediction markets as a very significant threat.Kalshi, one of the leading prediction market platforms, was recently valued at $22 billion, making it nearly twice DraftKings’ $12.6 billion market cap.Polymarket has also emerged as a top competitor to Kalshi.The rate of change in the space is so dizzying that it can be difficult to imagine the before times, but New York State Sen.Joe Addabbo, who chairs the Committee on Racing, Gaming and Wagering, remembers them vividly.New Jersey was at the forefront of the fight to end PASPA and immediately took advantage, but New York lagged behind for several years despite being a larger potential market.Back then, New Yorkers were still crossing bridges and tunnels to place bets in the Gar...