According to data published on the exchange's market data feed and first reported by InGame, Underdog's recently launched UDX prediction exchange recorded a notional trading volume of $1.2 million on Monday, July 27. This milestone was reached 10 days after UDX processed its first test trades on July 17, and nine days after Underdog publicly announced the launch of the wholly-owned company exchange.
The notional volume accounts for both sides of each transaction, so this figure does not correspond to the volume of client wagers—the amount traders actually put at stake. These initial results validate the mid-July reported launch, when UDX self-certified its first seven baseball and basketball contract templates with the Commodity Futures Trading Commission (CFTC), although the filings only indicated a planned launch date and did not confirm that public trading had already begun.
The daily volume of $1.2 million is a significant figure for a platform operating for less than two weeks, although it represents only a small fraction of Underdog's broader prediction market business. In an interview with CNBC on July 17, CEO Jeremy Levine stated that the company's total trading volume across prediction markets in 2026 would be $4.4 billion, equivalent to an average daily volume of approximately $22.2 million up to that date. Based on this, UDX's trading volume on July 27 represented about 5.4% of Underdog's average daily activity.
This calculation is an estimate rather than a direct measure of July 27's volume, and two key distorting factors work in opposite directions. Underdog's actual trading volume in late July likely exceeds the annual average, as Levine cited the World Cup as a major growth driver, which would push UDX's real share below 5.4%. On the other hand, UDX's initial trades focused on direct Major League Baseball game contracts, while the company-wide figures include third-party exchanges where combination products are already available. For an accurate market share figure, one would need to break down Underdog's client order volume on July 27 between UDX, Kalshi, and the Crypto.com Derivatives North America exchange, also known as Nadex.
Underdog entered the exchange market with infrastructure and distribution channels most new trading platforms lack, having already provided customers with access to prediction markets via Crypto.com and Kalshi for several months before acquiring PredictIt's designated contract market and the Aristotle Exchange clearinghouse in March. Underdog also operates a registered futures commission merchant, allowing it to handle client accounts and route orders within a single corporate structure.
This setup appears to have helped UDX avoid launching with an empty order book. The exchange launched a market maker program before opening, and Underdog was able to feature its new platform in an app already used by its prediction market customers. Consequently, UDX faced less of the typical chicken-and-egg problem where a new exchange needs traders to create liquidity but needs liquidity to attract traders. The CFTC certified the initial market maker program on July 2.
Nonetheless, Underdog has not abandoned external exchange partnerships: the active customer rules for UDX, Kalshi, and Crypto.com/Nadex list them as separate providers and stipulate that settlement may depend on which exchange lists the contract. The documentation confirms a multi-venue model where Underdog controls some listings while continuing to direct other customers or products to other venues.
This distinction also limits how Underdog's volume claims should be interpreted. Levine stated that since entering this market in September 2025, the company has processed $6.49 billion in prediction market flow, but almost all of that activity preceded UDX's launch and was routed to third-party exchanges. This figure reflects the scale of Underdog's brokerage activity, not the volume of trades occurring on its own exchange.
Parley contracts for UDX, self-certified on July 28 in a filing submitted to the CFTC the previous day, indicate that listings for combination markets could begin as early as July 29. Such products already account for an estimated 30% to 40% of Kalshi's daily volume, so their introduction will boost UDX's overall numbers both through market composition and through actual client flow migration—making subsequent single-day comparisons to this day more difficult.
Underdog is following a path chosen by DraftKings in June when it launched DKeX based on a CFTC license obtained through its acquisition of Railbird Technologies, ending reliance on CME Group and Crypto.com. In May, Polymarket US self-certified its own parlay-style contracts, and both DraftKings and Robinhood increased the share of volume flowing through their own trading venues within their first weeks of operation. A more significant commercial test for Underdog will be whether the company can redirect a substantial portion of its estimated average daily turnover of over $20 million from external trading venues to its own.
