President Donald Trump’s media and technology business is entering the prediction market sector by offering event contracts through his social media platform.
Trump Media and Technology Group Corp. announced plans to bring event contracts to Truth Social through a partnership with Crypto.com. Truth Social, operated by Trump Media, plans to offer event contracts tied to politics and the economy. The prediction market, Truth Predict, will also offer sports event contracts, putting the platform in a position to face potential regulatory scrutiny over the legality of sports event contracts.
Beta launch expected in the coming weeks
“We are thrilled to become the world’s first publicly traded social media platform to offer our users access to prediction markets,” said Trump Media CEO Devin Nunes. “Truth Predict will allow our loyal users to engage in prediction markets with a trusted network while harnessing our social media platform to provide totally unique ways for users to discuss and compare their predictions.”
While Polymarket has a partnership with the social network X to provide data to the platform, this is the first direct integration of sports contracts into a social media site.
Trump Media plans to launch Truth Predict on a roll-out basis, with beta testing expected to go live in the coming weeks. The beta testing will be followed by a launch in all 50 states.
Crypto.com and Trump Media are teaming up to offer event contracts after previously partnering in August to deliver a rewards system that leverages digital currency. The deal allows Truth Social’s reward system to use Crypto.com’s digital wallet infrastructure.
The partnership also allows Truth Social users to convert their rewards credits into the Cronos digital currency. Truth Social plans to allow its users to use Cronos to trade event contracts. The partnership requires Trump Media to purchase $105 million in Cronos.
The agreement also mandates Crypto.com to purchase $50 million in Trump Media stock.
“Prediction markets are poised to be a multi-deca-billion dollar industry,” said Crypto.com CEO Kris Marszalek. “Crypto.com has quickly become one of the most trusted providers of prediction market services, and we’re thrilled to combine with Truth Social to support the world’s first prediction markets available from a social media platform.”
Trump makes another nomination for CFTC Chair
The Commodity Futures Trading Commission (CFTC) is the federal regulator of event contracts, with the agency set to have new leadership after Trump nominated Michael Selig, who is the current Chief Counsel for the SEC’s Crypto Task Force, as CFTC Chair.
Selig is also the Senior Advisor to SEC Chairman Paul Atkins.
Trump nominated Selig as CFTC Chair behind his experience in finance and crypto after no longer considering former Crypto.com advisor and Kalshi board member Brian Quintenz.
Trump’s son, Donald Trump Jr., is a special advisor to Kalshi, but has no involvement with Crypto.com.
Crypto.com to pull sports event contracts out of Nevada
Crypto.com is aiming to expand its reach through a partnership with Trump Media, but the crypto giant and event contracts provider plans to stop offering certain products in Nevada.
Earlier this year, the Nevada Gaming Control Board sent a cease and desist order to Crypto.com for its sports event contracts. Crypto.com responded to the order by suing the regulator and requesting a preliminary injunction to keep its sports contracts online in the state. U.S. District Court Judge Andrew Gordon denied Crypto.com’s motion for an injunction. As a result, the platform plans to stop offering sports event contracts in Nevada.
