Sporttrade, the New Jersey-based betting exchange that offered an alternative to traditional sportsbooks, is closing its US sports betting operations. All wagering will cease on May 25, 2026, for New Jersey customers, with platform access also ending that day for Garden State users. Customers in Arizona, Colorado, Iowa, and Virginia must withdraw their funds by June 25, and all platform access ends on June 26 across every state.
The company announced the closure in mid-May with a brief notice that did not cite a specific reason. It ended with “Stay tuned for what’s next,” hinting at a potential rebrand. Over recent months, Sporttrade had acknowledged that mounting competition from prediction market platforms was putting pressure on its business model.
Sporttrade launched in New Jersey in September 2022 as a CFTC-regulated betting exchange, allowing users to trade sports contracts against each other rather than against a house. The model offered a different approach to sports wagering — one more analogous to financial exchanges than traditional sportsbooks — but the platform struggled to build the liquidity and user base needed to compete at scale.
In February 2026, Sporttrade filed Designated Contract Market and Derivatives Clearing Organization applications with the CFTC, positioning the company to enter the prediction markets space. That pivot indicates the company sees its future in prediction markets rather than licensed sports betting. It operated in five states — New Jersey, Arizona, Colorado, Iowa, and Virginia — before announcing its exit.
Anyone with funds in a Sporttrade account should act immediately. New Jersey users must withdraw by May 25 and will lose account access that day. Users in Arizona, Colorado, Iowa, and Virginia have until June 25. After June 26, all accounts will be inaccessible and any remaining balances will be mailed as checks.
Bettors who used Sporttrade in New Jersey can compare options through the New Jersey sports betting market, which includes FanDuel, DraftKings, BetMGM, bet365, Fanatics, and more than a dozen other licensed operators. For those in other affected states, state-by-state guides can help identify the best available alternatives. Sporttrade’s exit is the latest sign that the US sports betting market is consolidating around a small number of dominant operators, leaving less room for smaller platforms without significant bankrolling or distinct liquidity advantages.
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