Betr, a real-money gaming operator, announced its acquisition of Ascent Capital Management Inc., a registered introducing broker in the United States. This strategic move, revealed on Wednesday, allows Betr to expedite the launch of its prediction market offerings within 2026. The acquisition is significant as it grants Betr status as a Commodity Futures Trading Commission (CFTC)-registered introducing broker, facilitating its expansion beyond traditional gambling formats like sports betting and casino games.
The integration of Ascent Capital’s registration with the National Futures Association (NFA) will enable Betr to embed prediction markets, utilizing Polymarket technology, into its existing application. This development follows a prior collaboration between Betr and Polymarket, announced in March, aimed at enhancing Betr’s platform capabilities. Co-founded by Joey Levy and social media personality Jake Paul, Betr boasts a substantial user base exceeding one million subscribers. The company plans to introduce event contracts in diverse categories, including sports, politics, and culture, by year-end.
Levy, also the CEO of Betr, emphasized the acquisition as a pivotal step, noting the rising importance of prediction markets in the interactive entertainment and fintech sectors. He articulated that acquiring an established introducing broker provides a strategic advantage in launching a compliant prediction market experience.
Polymarket, the technological backbone for Betr’s prediction markets, is a well-regarded platform in the sector. However, it has recently faced legal challenges, such as a directive from the Argentinian government for its removal from digital platforms, citing unauthorized operations akin to online betting. This incident highlights the regulatory complexities that companies like Betr may encounter in expanding prediction market offerings.
Ascent Capital Management, operating as an NFA-registered introducing broker since 2011, brings a robust compliance framework that will support Betr’s regulatory adherence in the burgeoning prediction market landscape. Prediction markets allow participants to buy and sell contracts tied to future event outcomes, merging elements of wagering and financial securities. These markets have attracted interest from a spectrum of investors and operators but face regulatory scrutiny, particularly in the United States, where ongoing debates about their legality persist.
International perspectives on prediction markets vary. Brazil has recently declared these markets illegal, with Finance Minister Dario Durigan stating that they fall outside the regulatory scope of sports betting and online gaming. Conversely, Gibraltar has licensed its first prediction market operator, Predict Street, aligning itself with future global sporting events.
In the United States, a recent Congressional hearing on sports integrity scrutinized prediction markets. Stakeholders like Bill Miller of the American Gaming Association and Patrick McHenry from the Coalition of Prediction Markets expressed divergent opinions regarding regulatory oversight. The AGA advocates for state and tribal authorities to regulate sports-event contracts, reflecting a broader push within the industry for compliant domestic frameworks.
Betr’s acquisition of Ascent Capital precludes a protracted NFA registration process, reflecting an industry trend toward establishing compliant U.S.-based operations. The acquisition also signals a strategic shift, with parallels drawn to Sporttrade’s recent decision to pivot away from online sports betting in favor of prediction markets. Betr intends to incorporate prediction markets into the user wallet of its app, which currently supports its Picks, Sportsbook, Casino, and Arcade services.
While specific timelines for the launch of prediction-market contracts remain undisclosed, Betr has reaffirmed its commitment to rolling out this offering within the calendar year. The company’s strategy underscores a growing recognition of the potential for prediction markets to diversify and enhance the gaming experience while navigating a complex regulatory landscape. The industry will closely monitor developments, especially as U.S. regulators and legislators continue to evaluate the legal frameworks governing these emerging markets.
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