Payward Leads $20M Funding Round for Prediction Market App Onyx Odds

Payward, the parent company of cryptocurrency exchange Kraken, has led a $20 million Series A funding round for Onyx Odds, a prediction market application that allows users to trade outcomes of sporting events like financial instruments.

Onyx Odds operates as a prediction market platform, treating each event outcome as a tradable asset with prices fluctuating based on supply and demand. This exchange-based model aims to provide a more transparent and liquid market for sports predictions, similar to how financial exchanges operate for stocks or commodities.

The $220 million valuation achieved by Onyx Odds in under two years since its launch suggests that the platform has quickly captured market attention. However, the platform operates in a regulatory gray area that could face future scrutiny from sports betting and securities regulators.

The involvement of Payward signals growing convergence between digital asset infrastructure and prediction markets. This funding round highlights investor confidence in the model, which blends elements of decentralized finance (DeFi) with regulated sports wagering.