PrizePicks Pulls Team Picks in Missouri Following Regulatory Pressure

PrizePicks is pulling its “Team Picks” offering in Missouri, responding to updated regulatory scrutiny around sports-based prediction markets in the Show-Me State.

Due to updated legal requirements for prediction markets in Missouri, PrizePicks is required to suspend Team Picks in the state,” the company announced in a social media statement.

PrizePicks introduced “Team Picks” last year as an event-contract offering allowing users to trade on game winners, point spreads, and totals—effectively mirroring traditional sports wagers. Users could also pair Team Picks with player props to create multi-leg parlays.

While PrizePicks itself was not named directly in state legal filings, the suspension follows a major enforcement action by Missouri Attorney General Catherine Hanaway. Her office recently issued cease-and-desist orders to six major prediction market platforms—including Novig, Polymarket, Robinhood, and Underdog—alleging they are offering unlicensed sports wagering under the guise of event contracts.

“Missourians voted for a safe, well‑regulated sports wagering market that supports public education and addresses problem gambling. Companies cannot repackage sports bets as ‘event contracts’ to avoid Missouri law,” Hanaway said in a statement. “Any company that wants to offer sports wagering in Missouri must be licensed by the Missouri Gaming Commission, pay the required taxes and fees, and ensure no one under 21 can place a bet.”

Protecting Missouri’s Tax Pipeline

State officials have strong financial incentive to shield their licensed sports betting market. Missouri represents one of the most lucrative state launches in recent history, averaging $245 in handle per betting-age adult over its first four months of regulated mobile wagering.

Revenue protection remains the central issue. Because state law permits operators to take heavy promotional spending deductions, Missouri collected $8.6 million in sports wagering taxes through July—with $3.21 million earmarked for public schools and $5 million directed toward problem gambling programs.

Although promotional credits offset early tax totals, state media outlets report those returns still exceeded first-year fiscal projections. Because unlicensed prediction platforms do not pay the state’s 10% sports betting tax, regulators are moving aggressively to prevent event contracts from eroding the licensed commercial handle.

Swiss lottery giant Allwyn acquired a 62.3% controlling stake in PrizePicks in September 2025 for $1.6 billion, valuing the daily fantasy and prediction operator at $2.5 billion.