Fliff, Onyx Pursue FCM Registration in Shift From Sweeps to Prediction Markets

Fliff and Onyx Odds are moving away from sweepstakes gaming and toward prediction markets. Records from the National Futures Association show that Fliff FCM LLC and Onyx Markets LLC both filed applications on August 12 to register as Futures Commission Merchants, swap firms, and NFA members.

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If approved, the two operators would join a small but expanding group of companies exploring prediction markets under the federal derivatives framework.

The filings highlight how operators rooted in sweepstakes sports gaming are seeking new ground. Novig, ProphetX, Betr, and MyPrize have already entered or are preparing to enter prediction markets through different regulatory paths.

For Fliff and Onyx, the move comes as lawmakers in more than a dozen states have tightened rules around dual‑currency sweepstakes models, which had grown in popularity after the pandemic.

Onyx and Fliff to operate differently from major operators like Kalshi

Fliff and Onyx are charting a path that sets them apart from exchanges such as Kalshi. Their pending registration as Futures Commission Merchants would allow them to act as federally regulated intermediaries, handling both customer orders and funds for futures, options, and swaps.

Unlike introducing brokers, which can only pass along orders without holding client assets, FCM status would give them broader capabilities in the derivatives space.

This move does not mean either company will run their own prediction market exchange. Kalshi, for example, operates as a CFTC‑designated contract market, while Fliff and Onyx would serve as the customer‑facing intermediaries through which users trade contracts.

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Onyx has already dipped into the sector with Onyx Predictions, an NFA‑registered introducing broker. Its new filing under Onyx Markets could bring more functions in‑house.

By seeking FCM registration, both companies are positioning themselves differently from exchange operators, choosing instead to build their role as intermediaries in a market that continues to expand under federal oversight, even as sports event contracts remain contested between regulators and operators.

The sweeps-to-prediction-market pipeline continues to grow

The applications from Fliff and Onyx show how operators that once leaned heavily on sweepstakes are now looking at federally regulated event contracts as their next stage of growth. 

They are not alone in this, as ProphetX and Novig both filed for designation as contract markets in late 2025. The CFTC approved ProphetX first, with Novig following just a week later in June.

Other companies have chosen different routes into prediction markets. Betr, which expanded into sweepstakes casino gaming, moved forward by acquiring Ascent Capital Management, an introducing broker already registered with the NFA.

MyPrize took another approach, becoming the first sweepstakes operator to enter the space through a partnership with Crypto.com in November 2025. That deal opened access to sports, political, crypto, and other event contracts through Crypto.com’s regulated infrastructure. 

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Source: GamblingInsider