But it’s not gambling! It’s a “prediction contest.”

Ron Bernstein, a co-founder of the now-shuttered Intrade, earlier this year started a new site called Tradesports.com, a fantasy sports venue that allows users to buy and sell positions based on predictions for specific sporting events. Starting this week, the company is launching “long-term prediction” contests, which will give people a way to trade positions on events that are months in the future, such as the upcoming World Series or the Super Bowl….

Mr. Bernstein hopes Tradesports will avoid legal hassle because it is framed as a fantasy sports site. Those aren’t considered illegal acts of gambling because they are viewed as games of “skill” rather than games of chance, or luck….

In order to play on Tradesports, users choose a sporting event – known as a “contest” – and pay an entry fee in order to get fantasy money. That money is then used to buy and sell different predictions related to a specific contest. The higher the trading, the more liquid the market and ultimately “the better the data,” for anything in that contest, Mr. Bernstein says, which can range from the outcome of a game to a certain player’s point total.

Fantasy Sports Meets Wall Street: Intrade Co-Founder Resurface [WSJ MoneyBeat blog]

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Comments (10)

  1. Posted by Ex-Trader | July 16, 2014 at 9:55 AM

    Hate to burst your bubble, but Tradesports has been around in some fashion since at least '06

  2. Posted by Quant me maybe... | July 16, 2014 at 12:17 PM

    Nice Article! Two sentences of original content is, i think, new record in lazy.

    >You know Jon, when you actually write stuff it's pretty good. Try it.

  3. Posted by Gazpromino | July 16, 2014 at 12:27 PM

    Slowly dropping trow……..grabbing ankles………yessss

  4. Posted by Parabolic | July 16, 2014 at 12:38 PM

    Anybody going on strike Moday in solidarity with the LIRR union? It would be a fun meet & greet for the dealbreaker commentariat. I'll be at the Ronkonkoma stop at 8 pm with Dunkin Donuts.

  5. Posted by Anfernee | July 16, 2014 at 12:58 PM

    Fuck yeah! The Konk, bitches!

  6. Posted by Guest | July 16, 2014 at 2:14 PM

    Intrade was shut down because of financial irregularities, not because of sports betting.

  7. Posted by Merc Jerk | July 16, 2014 at 3:08 PM

    Yup. Tradesports was around when Ron B was trading gold options at COMEX back in 2003. He's always owned a piece of it.

  8. Posted by Guest | July 16, 2014 at 4:48 PM

    I'll always remember riding a late Saturday evening LIRR train and listening to two guys loudly insulting each other about their respective destination stops. I imagine it happens all the time, but, for me, it was special.

    – Guy in LA who doesn't get to experience such things as a part of his daily life

  9. Posted by Fraud Quant | July 16, 2014 at 4:57 PM

    ex-CEO stole a lot of money and then cashed out on top of Mt Everest.

  10. Posted by Guest | July 17, 2014 at 1:59 PM

    Intrade stopped trading due to the CTFC threatening them with heavy fines which would have resulted in bankruptcy.