Polymarket CEO Calls State Sportsbooks a Scam at Axios BFD

Shayne Coplan, CEO of Polymarket, used his time on stage at Axios BFD to take aim at state-licensed sportsbooks, calling them a “scam” and arguing that the current system hurts consumers. His comments added fuel to an ongoing debate about how prediction platforms fit into the broader sports betting ecosystem.

Good to Know

• Coplan said the “status quo” in state sports wagering works against customers.
• He pointed to wide differences in state rules, highlighting how inconsistent regulations shape consumer choice.
• His remarks followed a week in which Polymarket announced major partnerships with UFC and PrizePicks.

During the event, Coplan challenged the industry directly and said major sportsbooks operate with an unfair advantage. He pointed to the uneven regulatory landscape across the country, where gaming laws vary so widely that customers face very different betting options depending on where they live.

Florida, for example, limits sports wagering to Hard Rock Bet due to a compact with the Seminole Tribe. The state also bars college player prop wagers. Michigan takes the opposite approach, authorizing up to fifteen online sportsbooks that can offer college player prop odds without restriction.

Against that backdrop, Coplan said:

“None of them innovate. [All sportsbooks] rip off the consumer.”

He then singled out FanDuel and DraftKings, referring to them as the “duopoly” of sports betting. He also mentioned Fanatics and BetMGM as challengers trying to compete in a sector with steep barriers to entry. He said:

“It is so expensive that no new entrants can enter the market. You can only trade against the house. They can go and ban you if you make money, and they can profile you as a user to change the prices based off of you. That is a scam.”

How Prediction Platforms Fit Into the Debate

Prediction platforms offer sports contracts in states that do not classify such activity as traditional sports betting. Coplan said that ability creates a consumer-friendly alternative because the business model is different from a house-based sportsbook. he said:

“You cannot expect to run a business that is that rigged against the consumer in perpetuity. [Sportsbooks are] basically an entertainment app that is rigged against you; they take the odds, what you see on Polymarket, and they apply a very large vig, and they sort of obfuscate that you are getting ripped off.”

He also pointed to the 2018 Supreme Court ruling that allowed states to legalize sports betting, noting that prediction platforms may eventually follow a similar legal path.“I think at some point,” Coplan said when asked if he believed there would be a Supreme Court case involving prediction platforms.

Coplan’s remarks came shortly after Polymarket secured two high-profile deals:

• The UFC named Polymarket its official prediction market partner.
• PrizePicks teamed up with Polymarket to bring event contracts to sports, entertainment, and pop culture categories.

FAQ

Why did Coplan call sportsbooks a scam?

He argued they price customers unfairly, ban successful users, and operate with little competitive pressure.

What is the issue with different state rules?

State laws vary widely, which creates inconsistent options for bettors and challenges for new operators.

How do prediction platforms differ from sportsbooks?

Prediction markets let users trade against one another rather than the house, which Coplan says leads to better pricing.

Why mention the Supreme Court?

Coplan believes prediction platforms may eventually face a major federal legal test, similar to the 2018 sports betting case.