Novig pulls in $75M Series B funding, as it seeks federal approval

Novig has pulled in $75 million in fresh funding as it works to grow its sports trading platform and secure a clearer path to federal oversight.

The Series B round was led by Pantera Capital, with Multicoin Capital, Makers Fund and Edge Equity joining in. Existing investors Forerunner, Perceptive Ventures and NFX also participated. With this latest raise, the company’s total funding now tops $105 million.

The company previously closed an $18 million Series A round, which helped it expand operations and refine its peer-to-peer sports market model. The earlier backing set the stage for the larger push it’s making now.

Unlike traditional sportsbooks, Novig runs as a commission-free exchange where users trade against one another instead of betting against a house. The company says its order-book system allows odds to shift naturally based on supply and demand, rather than being set by a bookmaker. Over the past year, that approach appears to have gained traction. Trading volume jumped tenfold in 2025, and annualized volume has climbed past $4 billion.

Novig pushes for federal oversight as it gains more funding

At the same time, Novig is trying to redefine how it fits into the broader regulatory landscape. The company has formally applied to the Commodity Futures Trading Commission for approval to operate as a Designated Contract Market (DCM). If granted, that status would allow Novig to function as a federally regulated exchange and potentially make its platform available in all 50 states, similar to Kalshi.

The application could prove important as much of the sports betting industry operates under state-by-state rules. By contrast, a CFTC-regulated exchange would fall under federal supervision, similar to other derivatives markets.

Novig’s founders say their goal is to build a fairer system for sports traders. Traditional sportsbooks typically bake in a commission, commonly known as the “vig,” and may limit or restrict customers who win consistently. Novig argues its structure removes hidden fees and does not penalize profitable users.

“Our mission is to democratize and financialize sports markets, and we’re proud of the fact that Novig users are 10 times more likely to win than on traditional sportsbooks,” said Jacob Fortinsky, Novig’s co-founder and CEO, in a press release. “We chose to partner with the best crypto venture firms in the world to further accelerate our plans to make Novig the most efficient and liquid sports prediction market in the world. Others are using prediction market technology to financialize new markets with unproven demand. We leverage it to fix broken markets where demand already exists.”

Pantera Capital’s managing partner, Paul Veradittakit, framed the investment as a bet on structural change. “Their peer-to-peer exchange delivers what traditional sportsbooks can’t: better odds, fairer market structure, and alignment between platform success and user profitability,” he said. “When 23% of users are profitable compared to 2% on traditional platforms, it’s clear this is a foundational change to the industry.”

Co-founder and CTO Kelechi Ukah said the platform blends sports fandom with transparent market mechanics. He said the team is building an exchange “by sports traders, for sports traders,” pointing to what he described as strong demand for a product designed specifically for that audience.

The new funding will go toward expanding liquidity, adding more markets and rolling out advanced trading tools.

Featured image: Novig via press release