Are Prediction Markets Causing DraftKings Stock to Implode?

Is there a cause-and-effect relationship between the flourishing of prediction markets and the kneecapping of the stocks traditional online betting sites like DraftKings (NASDAQ:DKNG | DKNG Price Prediction) and Flutter Entertainment (NASDAQ:FLUT) have suffered in the past 12 months? Prediction markets surged in 2025, with trading volumes reaching $63.5 billion, a fourfold increase from $15.8 billion in 2024. Platforms like Polymarket and Kalshi drove this growth, enabling bets on outcomes across politics, ...