Novig Raises $75M Series B to Pursue Nationwide Sports Exchange Licence
The commission-free sports prediction exchange raised $75M in a Series B round and filed for a CFTC Designated Contract Market licence that would unlock all 50 US states.
Novig, the peer-to-peer sports betting exchange that charges zero bookmaker vig, announced a $75 million Series B round in February 2026, bringing its total funding to over $90 million. The round was led by existing investors and new institutional backers drawn to the exchange model's structural advantage over traditional sportsbooks.
The key strategic move accompanying the raise: Novig filed for a CFTC Designated Contract Market (DCM) licence. Obtaining a DCM licence (the same regulatory tier held by Kalshi and the CME) would allow Novig to operate in all 50 US states, up from the 35+ states covered by its current state-by-state sports betting licence approach. Kalshi's path from launch to DCM status took roughly three years; Novig's filing signals an ambition to follow the same playbook.
"We're building the most price-efficient sports market in the world," said Novig's CEO in the funding announcement. "A DCM licence is the infrastructure that gets us there at scale." The exchange model, which matches bettors peer-to-peer rather than booking risk against a house, delivers the equivalent of a 4–8% return that sportsbooks typically extract via margin.
What it means for US bettors: If Novig secures DCM status, it would join Kalshi as one of only two federally-regulated prediction market exchanges available in all 50 states. The commission-free model (Novig's current revenue comes from data and other sources rather than trading fees) would remain a powerful differentiator for sharp bettors who have been limited or banned at traditional sportsbooks.
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Recent updates
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NBA Names Kalshi and Polymarket Preferred Exchanges — Leaving the NFL Alone in Opposition
The NBA announced on October 26 that it has named Kalshi and Polymarket its 'preferred prediction market exchanges,' signed a non-binding memorandum of understanding with the CFTC on basketball integrity, and expanded its DraftKings deal to include prediction markets — the first league to extend a sportsbook partnership into the category. The exchange deals bar league and team personnel from trading NBA contracts, limit permissible markets, and require sharing of suspicious-trading data, in exchange for NBA intellectual property and official data. The NBA joins MLB, the NHL, and MLS as partnered leagues, leaving the NFL as the lone major holdout — and the only league fighting the platforms in court.
CFTC Chair Says Agency Is Watching Prediction Markets for Manipulation Ahead of Midterms
CFTC Chairman Michael Selig said on October 23 that the agency is closely monitoring prediction markets for manipulation ahead of the November 3 midterms, and that it is separately scrutinizing oil market trading tied to President Trump's announcements about the war in Iran. Combined midterm open interest on Kalshi and Polymarket stood at $250 million as of October 18, with Kalshi holding 84%. Selig acknowledged the agency often catches political figures attempting to trade 'oftentimes after the fact.' The remarks highlight the CFTC's dual and somewhat conflicting role as both the platforms' federal protector and their manipulation watchdog, at a time when the agency has shed enforcement staff.