Best Texas Prediction Markets: Are They Legal & How to Trade

Although the Lone Star State has strongly opposed legalizing sports betting, it has yet to take a firm stance on Texas prediction markets, and, for now at least, trading platforms are welcome to operate in the state. With over 30 million residents, over a dozen professional sports, and 25 D1 colleges, Texas is primed for the rapid growth of prediction markets. Since prediction market platforms are regulated by the Commodity Futures Trading Commission (CFTC), they are not subject to the same laws restricting sports betting and gambling, and operate as a trading platform with federal oversight.

Eligible users in Texas over the age of 18 can register for an account on a prediction market platform and begin trading on future outcomes of a range of topics. Traders can buy and sell contracts on everything from whether the Texas Longhorns win the National Championship, who will win the Texas Senate seat, and even what will be the highest temperature in Austin today. Not only do Texans have a seemingly endless array of topics to trade on, but they also have a growing number of platforms to choose from, including Kalshi, Polymarket, Novig, OG, and Fanduel Predicts.

Top Texas Prediction Market Apps

With so many options to choose from, it can be difficult to figure out which one best suits your interests. Below we break down the top prediction markets in Texas and how to claim their sign-up bonuses.

Kalshi Texas

KALSHI TRADING

Offer

T&Cs

Trade $25 at Kalshi & Get a $25 Bonus!

Must be 18+ years or older & residing in the United States. Other Terms & Conditions may apply.

LOCK IN PROMO

CODE: DIME

CODE: DIME

SIGNUP TODAY

TRADE $25
GET $25

GET OFFER

Kalshi is one of the most recognizable names in the prediction market space. In just a few short years, they have become the official prediction market partner of Madison Square Garden, an official partner of the NHL, and have a multi-year deal with CNBC to display live prediction market data on TV broadcasts and on digital mediums. Kalshi was the first prediction market to launch in July 2021 with approval from the CFTC to operate as a Designated Contract Market (DCM), which granted them nationwide access. Kalshi allows residents in Texas to trade on prediction markets for Sports, Politics, Crypto, Economics, Weather, and Culture.

Along with being one of the most visible brands in the game, Kalshi is also one of the most user-friendly prediction market platforms. With simple deposit methods like debit cards and ACH bank transfers, Kalshi removes barriers, such as cryptocurrency requirements, that might deter new customers interested in trying a prediction market. They also offer a massive collection of markets to trade on and have intuitive menus that make finding a certain market a straightforward process, along with a powerful search bar to speed the process up even more.

To learn more about Kalshi, check out our detailed Kalshi promo code to learn the ins and outs of a top trading app available to traders in Texas. New customers who want to start trading on Kalshi prediction markets in Texas can use the Kalshi promo code DIME to unlock a $25 bonus after completing $25 in trades.

Polymarket Texas

POLYMARKET

Offer

T&Cs

Trade $10 & Get a $20 Bonus at Polymarket!

18+ Only. Restrictions and eligibility requirements apply. Not available in all jurisdictions. Trading involves high risk and may result in loss of your entire investment. See polymarket.us/tos for more information. The Polymarket US App serves as an independent software provider and affiliate of Polymarket US and Polymarket Clearing, the CFTC-regulated derivatives exchange and clearing organization.

SIGN UP

CODE: DIME

CODE: DIME

SIGNUP OFFER

TRADE $10
GET $20 BONUS

TRADE NOW

Polymarket is a prediction market platform that operates on a global level and has partnerships with the ATP Tour, MLB, NHL, MLS, UFC, LALIGA, LIGA MX, Bundesliga, and Serie A. This global presence has turned them into the leader in market liquidity on the world stage, with the recent World Cup Winner market having over $4B in market volume. However, the app version of Polymarket in Texas and the rest of the U.S. does operate on a separate platform from its global product, and markets may vary slightly.

While Texas prediction market traders do not have access to the international market liquidity, they will not have trouble buying or selling major positions on the U.S. Polymarket app, as many of its markets also carry huge market volume. Users will also have no problem finding a prediction market on Polymarket that matches their interest, as the app’s offerings cover some of the world’s most popular sports down to very niche topics like who will win the Emmy for Outstanding Guest Actor in a Comedy Series.

Read our detailed Polymarket sign-up bonus to learn more about this world’s leading prediction market platform. New customers who sign up using the Polymarket promo code DIME will unlock a $20 bonus after completing a $10 trade.

Novig Texas

NOVIG PREDICTION
MARKET

Offer

T&Cs

Deposit $10 & Get $25 in Trade Credits!

Restrictions & requirements apply. Not available in all states. 21+. Event contract trading involves risk & is not appropriate for all. Consider if it's appropriate for you in light of financial circumstances. See novig.com/terms for information.

SIGN UP

CODE: DIME

CODE: DIME

SIGNUP OFFER

DEPOSIT $10
GET $25

IN TRADE CREDITS

TRADE NOW

Novig is a sports-focused prediction market that recently gained its certification as a Designated Contract Market (DCM) from the CFTC. This certification allowed the platform to switch from the sweepstakes model it previously operated under to a full-fledged prediction market that can compete with the other major names listed on this page. Since announcing their move to becoming a legal prediction market in Texas and 46 other states, Novig has also become the official prediction market partner of the New York Mets.

While other prediction market platforms cover a diverse collection of prediction markets, Novig narrows the field down to just sports markets. This focus makes it a great option for the sports-minded traders who want to get straight into the action on their favorite team without any distraction from markets they are not interested in. What really sets Novig apart from sports betting is that, unlike a sportsbook where users trade against the house and pay a vig on every bet, customers on Novig trade against each other on this peer-to-peer trading model and never have to pay a “vig.”

Read our comprehensive Novig promo code to learn everything you need to know about one of the most popular Texas prediction markets available. New customers can claim the promo code DIME to deposit $10, get $25 in trade credits on Novig.

OG Texas

OG TRADING
MARKET

Offer

T&Cs

Trade $10 & Get a $10 Welcome Offer at OG Trading Market!

Must be 18+ years or older & residing in the United States. Other Terms & Conditions may apply.

LOCK IN PROMO

SIGNUP TODAY

TRADE $10
GET $10

SIGN UP TODAY

OG entered the world of prediction market trading backed by Crypto.com, giving it instant brand recognition and trust. This CFTC-approved prediction market offers Texas users the ability to trade on sports, politics, culture, tech, financials, and many more categories.

OG is the prediction market for the social trader. Every market features an active chat where users can talk about their positions and how the event is playing out in real time. OG also features leaderboards, where users can see how their portfolio compares to others. Traders on this Texas prediction market can also build their own parlays to add a bit more excitement to their trades by upping the stakes. OG is also one of the more user-friendly platforms, as it allows users to switch between American odds (+/-) or percentages, which are more commonly seen on trading platforms.

Read our in-depth OG promo code to learn more about this prediction market powered by Crypto.com. New users can claim a $10 sign-up bonus by activating the OG promo code here when they register for an account.

FanDuel Predicts Texas

FanDuel Predicts is the byproduct of FanDuel Group and CME Group coming together to create a prediction market app. With two highly trusted names in their respective fields, both sports fans and traders will be drawn to the app from these two brands. FanDuel Predicts is slightly different from other prediction market platforms in that while it is regulated by the CFTC, it is a Futures Commission Merchant (FCM) rather than a DCM. Put simply, this means FanDuel Predicts works as a broker between traders and a separate DCM where the trades actually take place.

For those with experience on any of FanDuel’s other apps, the FanDuel Predicts app will feel very familiar in its appearance and UI. FanDuel knows it will have customers with diverse backgrounds and designed the app to be tailored to fit each person’s preferred style. Users can select how they want the price of each contract displayed to make understanding the odds of that outcome simpler. Customers can tap on the “Odds Pricing” button and choose how they would like the app to display the odds from an option list of “Multiplier,” “Odds,” “Cents,” or “Percent.” While FanDuel Predicts currently offers Sports, Politics, Commodities, Crypto, and Financial markets, they have recently partnered with Crypto.com to further expand their market options to keep up with offerings from other Texas prediction markets.

New customers who want to start trading on FanDuel Predicts in Texas can claim the FanDuel Predicts promo code here to unlock your offer.

Current Legality: Are Prediction Markets Legal in Texas?

Yes, prediction markets are legal in Texas. Prediction market platforms operate under the governance of the CFTC and act as a trading platform, which makes them legal in almost every state in the country. Some states have begun efforts to ban prediction market platforms as a whole, and others have taken steps to restrict specific markets, particularly in states that already have legalized sports betting.

While Texas does not allow sportsbooks to operate in the state, they have not taken a stance on restricting or limiting market options from prediction markets. Lt. Governor Dan Patrick asked Texas state senators back in March 2026 to find ways to close loopholes that prediction markets used to get around the state’s strict laws on gambling and operate in Texas. However, this has not yet resulted in any lawsuits to freeze the availability of prediction markets in the state, a tactic states like Minnesota and New York have employed.

Texas’s Attorney General Ken Paxton opted not to join 39 other states in signing a legal brief from the National Association of Attorneys General arguing the CFTC does not have exclusive authority in regulating prediction markets. This is not the only legal brief against prediction markets that Texas representatives have decided not to sign off on. Patrick is eyeing the 2027 session of the Legislature to have senators put the legality of sports and political prediction markets back on the table. However, for the time being, prediction markets appear to be here to stay in Texas.

Popular Texas Markets to Trade

With a massive population, over a dozen professional sports teams, and 25 D1 colleges, sports prediction markets are one of the hottest categories on Texas prediction markets. Traders can trade on whether or not the Astros will win today or buy “yes” event contracts on the Longhorns to win the National Championship. With so many teams and so many markets to choose from, there is a seemingly endless amount of outcomes for Texans to trade on.

Texas Baseball Prediction Markets

With the Texas Rangers and the Houston Astros looking like real contenders in the AL West, traders looking at futures in the Texas baseball prediction markets may have a tough choice when picking which team will win the division. Fortunately, traders do not have to focus solely on long-term outcomes and can trade on today’s slate of games as well. Users can buy “yes” or “no” contracts on markets like the moneyline, spread, total, and whether the game will go into extra innings. Baseball prediction markets even offer player props on home runs, strikeouts, hits, RBIs, and many more.

Some platforms also offer markets on baseball-related topics that take place off the field. Customers can trade on when a manager will be fired, which team a player will be on next year, who will have the longest regular season winning streak, and even if there will be a new CBA agreement before December 2, 2026.

Texas Basketball Prediction Markets

While not everyone in Texas is quite yet over the sting of the NBA Finals, traders on prediction markets are already giving the Spurs a second chance. Traders on OG currently have the Spurs as the favorite to win the 2027 NBA Finals. Some might see it as way too early to lock in that pick; others see now as a prime chance to buy their stake at what could be the lowest price of the season.

Texas basketball prediction markets also include action from the WNBA, which is currently at its midpoint of the season. Along with being able to trade on individual game outcomes and player props, users can also trade on who will be the WNBA MVP, who will lead the league in three-pointers, or if any player will dunk this season. While the college basketball season is still months off, users can start trading on Texas college basketball futures now to buy in low on various outcomes.

Texas Football Prediction Markets

With the NFL and college football season kicking off, Texas football prediction markets are about to really heat up. Already, traders have the Houston Texans picked as the heavy favorite to win the AFC South and the Dallas Cowboys as a close second behind the Philadelphia Eagles to win the NFC East. Both the Cowboys and the Texans are favored to have at least 10 wins this coming season. While neither team from Texas is the favorite to win it all, traders have faith in both teams to have strong seasons.

On the college football side of Texas football prediction markets, traders can predict which teams the AP will rank as #1 during the season, with the Longhorns holding a 37% implied probability of holding that rank. Outside of traditional markets, users can also find more niche options like will Johnny Manziel go on ESPN’s College GameDay before 2027, where will the College GameDay be held on a certain week, and will Notre Dame football join a conference before the 2027-28 season.

Other Texas Prediction Markets

• Texas Senate winner: The Texas Senate race has been one of the most closely watched races in the lead-up to the November midterms. With both parties’ primaries being hotly contested races and one going to a run-off, traders have been heavily invested in this topic for months. On Kalshi, the market volume for this race is already over $7.5M with weeks to go before the election will really heat up. Right now it is nearly a draw between Ken Paxton and James Talarico after months of Paxton having a commanding lead.
• How high will gas prices in Texas get this year: Gas prices have been one of the hottest topics across the country and in particular Texas. Gas prices fluctuate every few days as talks progress and stall as the uncertainty over the Strait of Hormuz continues. After hitting a predicted high of $5.10, the market has dropped to the forecasted price of $4.40. Traders can get in on this action until the market closes on December 31st.
• How many Atlantic hurricanes will there be this year: Now that hurricane season has officially started, Texas prediction markets allow users to trade on how many named hurricanes will form in the Atlantic this year. With an average of seven named hurricanes, this year may be a quieter year, with meteorologists predicting two to six hurricanes for this season. On prediction markets, traders are favoring the “at least 4” contracts right now.

Prediction Markets vs. Texas Sports Betting

While there are growing rumblings in Texas for more regulation over prediction markets, platforms like Kalshi and Polymarket remain completely unrestricted in Texas. This varies greatly from the thought of legalized sports betting in Texas. There have been three attempts to pass bills that would allow some form of sports betting in Texas, both for in-person and online variants, and all three have failed to gain the two-thirds majority vote needed to pass. In the same year, Rep. Charlie Geren introduced House Joint Resolution 137, which would allow online sportsbooks and casino gaming, but this effort also failed to gain enough support to move forward.

Even with all of these struggles in the House and Senate, Governor Greg Abbott has said he would block a sports betting bill if it received enough votes to pass the House and Senate. However, this faces an uphill battle as Lt. Governor Dan Patrick, who also serves as the president of the Texas Senate, is not in favor of calling a vote on sports betting unless the bill comes with a majority of the state Republicans backing it.

Fortunately, Texas prediction markets are not restricted by the state’s anti-gambling laws and operate as a financial exchange, which makes them federally legal across the country. While some states have taken efforts to ban or restrict the use of these platforms, Texas has not yet taken any action against these prediction markets, leaving them accessible to all of the state’s residents.  Unlike sports betting, where users are betting against the house, traders on prediction markets are buying and selling event contracts on various outcomes in a peer-to-peer exchange, which categorizes this type of activity as “derivatives and commodities trading.”

With little hope for sports betting becoming legalized any time soon, sports fans and other traders can turn to legal prediction markets in Texas, like Kalshi and Polymarket.

Texas Prediction Markets FAQs

What are the best Texas Prediction Markets?

The best prediction markets to use in Texas include Polymarket, Kalshi, Novig, OG, FanDuel Predicts, and several other options.

Can I legally use Kalshi in Texas?

Yes, in Texas, Kalshi is a legal prediction market. It is a form of derivatives and commodities trading and is regulated by the CFTC as a Designated Contract Market.

Do I have to pay Texas state tax on prediction market winnings?

No, Texas does not have a state income tax, a capital gains tax, or a gambling tax. Traders will have to report their gains and pay tax on their federal taxes.

Can you bet on sports in Texas?

No, you can not legally bet on sports in Texas. However, users can trade on outcomes of sporting events on Texas prediction market platforms like Kalshi and Polymarket.

What is the legal age to use a prediction market in Texas?

Traders must be at least 18 years old to trade on most prediction markets in Texas. The minimum age can vary on specific platforms, such as Novig, which requires users to be at least 21 years old.