Bet365 Withdraws from AGA as Gaming Industry Faces Membership Shift

Bet365 has become the latest major sports betting operator to withdraw from the American Gaming Association, following similar exits by industry giants DraftKings, FanDuel, and Fanatics Betting & Gaming. The departure marks another significant blow to the AGA, which has experienced an unprecedented exodus of members during the past six months. DraftKings and FanDuel resigned their memberships in November after a divide emerged between tech-first companies and land-based casinos over prediction markets. The ongoing membership crisis highlights a growing rift within the gaming industry, particularly between legacy casino operators like Caesars and MGM, and technology-oriented wagering platforms that are embracing emerging market opportunities.

bet365 Exits AGA Over Retail Casino Industry Focus

A bet365 spokesperson provided the company’s rationale for departing the trade association on March 24, 2026. “As a digital-first operator, bet365 has pulled back from the AGA due to the organization’s focus on the retail casino industry”. The company added that it values industry partnerships and remains committed to working with regulators and partners across operating markets.

The operator was listed as an AGA member in February but disappeared from the membership roster by Monday. This departure differs from previous exits, as bet365 specifically cited the retail casino focus rather than prediction markets as its primary concern.

Bet365 operates with limited land-based exposure, running sportsbooks at a handful of retail casinos owned by other companies. Based in the United Kingdom, the operator falls into the tech-first category and maintains live platforms in multiple US jurisdictions, Ontario, Canada, Europe, and Brazil. The company does not currently offer a betting exchange or prediction platform in any jurisdiction where it operates.

Industry speculation suggests bet365 may enter prediction markets through a technology provider agreement or acquisition, though the company has not filed with the National Futures Association for approval. Such a move would align bet365 with other departing operators who embraced prediction market opportunities.

Prediction Markets Trigger Industry-Wide Exodus

On November 18, two prominent sports wagering operators announced their departure from the American Gaming Association. DraftKings and FanDuel both resigned their memberships because the direction of online betting, increasingly tied to prediction markets, does not align with the trade organization. The AGA planned to introduce a resolution at a board meeting that would exclude from membership any company offering prediction markets.

FanDuel announced it would launch FanDuel Predicts in December in partnership with the CME, offering sports prediction trades only in states where sports betting is not legal. DraftKings acquired Railbird, which has a federal license to offer event contracts. Fanatics followed suit in December after becoming the first major sportsbook operator to launch a prediction market offering.

The AGA’s position remained clear throughout these departures. Bill Miller, AGA CEO, wrote in a December 2025 letter to members that sports event contracts are gambling, and gambling is regulated by states and tribes. The trade organization accepted both companies’ request to relinquish their membership, stating it expects to maintain close ties to its mission to promote legal, regulated gaming.

Daily fantasy sports operators joined the movement. PrizePicks and Underdog embraced prediction markets, with Underdog voluntarily surrendering its North Carolina sports betting license to make the shift.

The AGA Faces Unprecedented Membership Crisis

Sportsbook technology providers OpenBet and Sportradar did not renew their AGA memberships in January, following earlier exits by DraftKings, FanDuel, and Fanatics. Neither OpenBet nor Sportradar disclosed the reasons for their decision. Industry observers say the departures highlight changing strategic priorities among key service providers as the U.S. wagering market evolves.

The departures underscore a growing split between tech-focused betting companies and the AGA, which has moved closer to land-based casino operators and tribal gaming groups. In January, the AGA and the Indian Gaming Association sent a joint letter to Congress warning that prediction markets “undermine state law and tribal sovereignty” and conflict with federal laws designed to protect consumers and financial market integrity.

Investor response to prediction markets has been muted. Shares of DraftKings and FanDuel remain well below their 52-week highs despite launching prediction products late last year. Casino operators, including Caesars and MGM Resorts, have also seen share price declines, though analysts say those moves reflect broader pressures such as slowing Las Vegas visitation rather than prediction markets alone.

BetMGM CEO Adam Greenblatt called it a “conflict” for his company to remain in some industry groups that also have companies offering sports event contracts via prediction markets, but said the company will maintain its membership in those organizations.