Fliff Applies for Prediction Market License as Sweepstakes Operators Pivot Models

Fliff, best known for its social sportsbook and its Sidepot Casino sweepstakes brand, is taking a formal step toward offering prediction-market style “event contracts” on its platform. On Wednesday, the company submitted an application to become a Futures Commission Merchant (FCM), a move that could position it to offer prediction markets via a regulated partner rather than relying on the sweepstakes model it uses today.

If the FCM application is approved, Fliff would be able to partner with a Designated Contract Market (DCM) such as Kalshi or Polymarket to offer event contracts. Fliff hasn’t shared product details, but given its sports-first identity, its prediction markets would likely lean toward sports. The company did not respond to a request for comment.

Fliff’s current public messaging frames its core product as a free-to-play social experience, stating that it “turns sports predictions into a play-for-fun social game with daily credits to play for free.” When launching the social sportsbook, CEO Matt Ricci said it was designed to “capitalize on the engagement of and excitement around sports betting” while building something “better suited for the mass market.”

That “mass market” attention has recently shifted toward prediction markets. Kalshi’s volume surged during the World Cup, and expectations are for further growth as the NFL season approaches. The broader appeal is the idea of offering “legal” sports betting nationwide, which is drawing interest from multiple corners of the gambling-adjacent world, including DFS, sweepstakes, and traditional betting brands.

The timing also reflects how much pressure the sweepstakes casino and dual-currency model is under. As of the end of July, Fliff excludes 20 states from its sweepstakes products, adding Iowa, Indiana, and Maine after those states passed bills targeting dual-currency gambling. Other major sweepstakes operators, including VGW, Modo, Stake, and Pulsz, also exited states as bans took effect on July 1. Some brands have shut down entirely, with The Money Factory and CoinFrenzy among the latest to announce closures.

Fliff has faced legal challenges tied to its sweepstakes offering before, including a complaint from California resident Bishoy Nissim seeking $7 million in damages; that complaint was eventually dropped. Meanwhile, other companies are already moving into event contracts: Novig transitioned from the sweepstakes model to prediction-style contracts, launched its platform last week, and quickly sued four states to defend its legal status. Despite the prospect of further scrutiny, momentum around prediction markets continues, and executives like Dr. Laila Mintas of 365predictions have pointed to projections as high as a $1 trillion market size.

For players, this matters because the way “sports picks” and casino-style play are offered is rapidly changing, and these pivots can affect where platforms operate, what they can offer, and how stable access is across different regions.