Fanatics to acquire BGC prediction market exchange

Fanatics agreed on July 27 to acquire Water Street Labs and CX Clearinghouse from BGC Group, giving the sports platform a federally regulated exchange and clearinghouse for its prediction markets business. Summary Fanatics agreed to buy two CFTC-registered entities, gaining direct control of exchange and clearing infrastructure. Water Street Labs received CFTC designated contract market status on July 16, 2026, records show. Fanatics Markets currently operates across 23 states and four U.S. territories, according to company disclosures. Financial terms and a closing date were not disclosed. The deal has been announced but has not been described as completed. Once ownership transfers, Fanatics intends to list event contracts through Water Street Labs and settle them through CX Clearinghouse rather than relying entirely on an outside exchange and clearing partner. Fanatics prediction markets move in-house Fanatics Markets launched in December 2025 through a partnership with Crypto.com Derivatives North America. Fanatics had also acquired Paragon Global Markets, a CFTC-registered introducing broker and National Futures Association member, in July 2025. The new transaction would add th...