#What is the Significance of Onyx Odds' Funding Round?
Onyx Odds, a social sports prediction platform established in 2024, has successfully raised $20 million in a funding round led by Payward, the parent company of the well-established cryptocurrency exchange, Kraken. This funding event signifies a remarkable leap for a company navigating the competitive landscape of prediction markets.
#How Does the Onyx Odds Platform Operate?
Onyx Odds deviates from the conventional sportsbook model by employing a sweepstakes-style framework that is centered around virtual “Onyx Coins.” This innovative approach allows users to make predictions on various sports and real-world situations without the complexities associated with traditional gambling regulations.
#What Are the Early Stages of Onyx Odds?
In an earlier funding phase on March 1, 2025, Onyx Odds garnered $8.3 million in venture capital led by Velo Partners and Xfund. The latest $20 million investment represents a significant increase, reflecting investors' confidence in the platform's potential. With this new infusion of capital, Onyx Odds is poised for aggressive growth as it has surpassed the initial proof-of-concept phase.
#How Much User Growth Has Onyx Odds Achieved?
Onyx Odds has witnessed user growth that has reportedly reached hundreds of thousands, an impressive feat for a platform that had just begun fundraising a year prior. Currently, the platform has operations extending across more than 30 states in the United States.
#What Partnership Enhances Onyx Odds’ Services?
In November 2025, Onyx Odds established an exclusive partnership with Polymarket, a blockchain-based prediction market that gained considerable attention during the 2024 US presidential election. This partnership enhances Onyx Odds' capacity by providing access to regulated prediction contracts. By collaborating with Onyx Odds, Polymarket secures a compliant distribution channel, while Onyx Odds benefits from aligning with a leading brand in prediction markets, solidifying its position as an exclusive partner.
#What Advantages Does the Sweepstakes Model Offer?
The sweepstakes model of Onyx Odds allows it to navigate through various licensing requirements that traditional sportsbooks typically encounter. This flexibility has enabled the platform to operate in more than 30 states without delay, unlike competitors such as DraftKings and FanDuel which struggled with prolonged approval processes. However, it is pertinent to note that this model might face increased scrutiny from state attorneys general, necessitating potential adjustments to the business strategy.
Despite these challenges, the total funding of $28.3 million, along with a strong user base and multi-state operations, attests to the substantial investment and future potential of Onyx Odds in the evolving landscape of prediction markets.