DraftKings Predictions hits $2.3B annualized volume, teases Railbird exchange and parlays

DraftKings disclosed new prediction markets metrics in its Q1 earnings release, revealing its predictions business has topped $2.3 billion in annualized volume. The company said integrating the prediction market product into its core sportsbook app cut customer acquisition costs by more than 80 percent in April, since it can cross-sell to its existing user base rather than paying to acquire prediction market customers separately. DraftKings also said the prediction market products are already contributing to its bottom line. The company expects to launch its proprietary prediction market exchange, Railbird, and begin offering parlays — or combos — in the coming weeks, shifting toward an in-house model that gives it direct control over operations rather than relying on third-party infrastructure.