PrizePicks and Underdog Fantasy: Business Models, Game Formats, User Experience, and Market Positioning in 2025
The daily fantasy sports (DFS) landscape in the United States has undergone a dramatic transformation in recent years, with pick’em-style platforms like PrizePicks and Underdog Fantasy emerging as dominant forces. These platforms have redefined how sports fans engage with player performance predictions, offering streamlined, mobile-first experiences that blend elements of fantasy sports, prop betting, and, increasingly, prediction markets. As of late 2025, both PrizePicks and Underdog Fantasy command millions of users and have become central to debates about the future of DFS, the legal boundaries of skill-based gaming, and the convergence of fantasy and regulated wagering.
This report provides a comprehensive, analytical comparison of PrizePicks and Underdog Fantasy across eight critical dimensions: business model and legal framework, game formats and offerings, user experience and interface, promotions and bonuses, payout speed and reliability, market positioning and brand perception, pros and cons, and ideal user profiles. Drawing on a wide range of industry analyses, regulatory updates, user reviews, and platform documentation, the report aims to equip readers with a nuanced understanding of how these platforms operate, compete, and serve their diverse user bases in a rapidly evolving regulatory and technological environment.
1. Business Model and Legal Framework
1.1. PrizePicks: Navigating DFS, Prediction Markets, and Compliance
PrizePicks has positioned itself as a skill-based fantasy sports operator, initially focusing on “against-the-house” pick’em contests where users predict whether individual athletes will exceed or fall short of statistical projections. The company has aggressively expanded its legal footprint, operating in over 45 U.S. states and Washington, D.C., and has adapted its offerings to comply with varying state regulations.
In 2025, PrizePicks achieved a significant milestone by becoming the first and only DFS operator to earn iCAP accreditation from the National Council on Problem Gambling (NCPG), underscoring its commitment to responsible gaming and consumer protection. This certification reflects robust Know Your Customer (KYC) protocols, staff training, and responsible gaming tools, setting a new industry benchmark.
Facing increasing regulatory scrutiny—especially regarding whether pick’em contests constitute sports betting—PrizePicks has demonstrated agility by introducing new formats. Notably, in response to legal uncertainty in states like California, PrizePicks shifted from its traditional house-banked pick’em to a peer-to-peer Arena format, which is more defensible under fantasy sports laws. Furthermore, PrizePicks has moved to integrate federally regulated prediction markets through partnerships with Polymarket and Kalshi, leveraging its registration as a Futures Commission Merchant (FCM) with the National Futures Association (NFA) to offer CFTC-permitted derivatives contracts.
State Availability and Restrictions:
PrizePicks is legal in most U.S. states, but with notable exceptions (e.g., Nevada, Hawaii, Idaho, Montana, and Washington). Age requirements vary: 18+ in most states, 19+ in Alabama and Colorado, and 21+ in Arizona, Massachusetts, and Virginia. State-specific restrictions may apply, such as prohibitions on college sports picks in certain jurisdictions or requirements for minimum picks per entry.
1.2. Underdog Fantasy: DFS, Best Ball, and Legal Adaptation
Underdog Fantasy has built its brand around DFS pick’em and best ball contests, emphasizing both daily and season-long engagement. Like PrizePicks, Underdog operates under the premise that its contests are games of skill, not chance, and thus are legal in most states under fantasy sports carve-outs from gambling laws.
Underdog has faced similar legal headwinds, particularly in large markets like California. In July 2025, the California Attorney General issued an opinion declaring most DFS formats, including pick’em, to be illegal sports betting. While this opinion is advisory and not immediately enforceable, it signals heightened enforcement risk. Underdog challenged the AG’s authority in court but was denied an emergency restraining order; the company continues to operate in California, emphasizing its confidence in the legality of its offerings and its willingness to adapt as needed.
State Availability and Restrictions:
Underdog Fantasy is available in over 40 states, with pick’em contests legal in 30+ states. As with PrizePicks, age and contest-type restrictions vary by state. Some states allow only certain formats (e.g., best ball but not pick’em), and college pick’em is restricted in several jurisdictions.
1.3. Fantasy, Sweepstakes, and Prediction Markets: Legal Distinctions
Both platforms have had to navigate the blurring lines between fantasy sports, sweepstakes, and sports betting. Traditional DFS is generally considered a game of skill and thus exempt from gambling prohibitions under the Unlawful Internet Gambling Enforcement Act (UIGEA) of 2006. However, the rise of house-banked pick’em and the introduction of prediction markets have prompted some states to revisit these distinctions, leading to a patchwork of regulations and ongoing litigation.
PrizePicks’ move into regulated prediction markets (via Polymarket and Kalshi) and its FCM status represent a significant evolution, potentially allowing it to offer event contracts under federal oversight, further differentiating its legal posture from traditional DFS operators.
2. Game Formats and Offerings
2.1. PrizePicks: Pick’em, Arena, and Prediction Markets
PrizePicks’ core product is the pick’em contest, where users select 2–6 player projections (across one or multiple sports) and predict “More” or “Less” than the posted stat. Users can choose between Power Play (all picks must hit for a higher payout) and Flex Play (allows for one or two misses with reduced payouts).
Key Game Formats:
- Pick’em: Traditional against-the-house, available in most states.
- Arena: Peer-to-peer format where users compete against each other in groups, now the primary real-money contest in states with regulatory uncertainty (e.g., California, Florida).
- Streak: Free-to-play daily contest available in states where real-money DFS is restricted.
- Prediction Markets: Through partnerships with Polymarket and Kalshi, users can now purchase event contracts on sports, entertainment, and cultural outcomes, including team-based predictions and season-long futures.
Sports Coverage:
PrizePicks boasts one of the broadest sports menus in the industry, covering over 25 sports and leagues, including NFL, NBA, MLB, NHL, WNBA, PGA, college football and basketball, soccer, tennis, MMA, cricket, esports, and niche offerings like disc golf.
Scoring Formats:
PrizePicks uses sport-specific fantasy scoring systems, often mirroring standard fantasy league rules (e.g., full PPR for NFL, custom point values for NBA, MLB, UFC, etc.). Users can also make picks on fantasy scores rather than raw stats.
Innovative Features:
- Live Squares: Allows users to make picks on real-time player projections during games, with dynamic odds and the ability to mix live and pregame picks in a single entry.
- Demons and Goblins: Special projections with higher or lower difficulty and payout multipliers.
- Reboots: Automatic removal of picks if a player is injured early, reducing risk for users.
2.2. Underdog Fantasy: Pick’em, Best Ball, Drafts, and Rivals
Underdog Fantasy offers a wider variety of contest types, blending daily and season-long engagement:
Key Game Formats:
- Pick’em: Users select 2–8 player projections and predict “Higher” or “Lower” on stats. Includes “Rivals,” a head-to-head matchup between two players in a specific stat category.
- Best Ball: Season-long fantasy contests where users draft teams at the start of the season; the platform automatically sets the optimal lineup each week. No in-season management is required. Best Ball Mania is the flagship contest, with massive prize pools (e.g., $15 million in 2025).
- Daily and Weekly Drafts: Short-term snake drafts for single-day or week-long contests.
- Champions: Peer-to-peer tournament structure, especially in states with pick’em restrictions.
Sports Coverage:
Underdog covers all major U.S. sports (NFL, NBA, MLB, NHL, WNBA, CFB, CBB, PGA) and select international leagues. While its pick’em menu is extensive, its draft and best ball contests are more focused on the “big four” sports.
Scoring Formats:
Underdog uses standard fantasy scoring for drafts and best ball, and straightforward stat projections for pick’em. The platform is known for its transparent rules and easy-to-understand payout structures.
Innovative Features:
- Rivals: Head-to-head player matchups within pick’em entries.
- Insurance/Flex: Option to win even if one or two picks miss, with lower payouts.
- Streaks: Special contests with escalating multipliers for consecutive correct picks.
2.3. Payout Structures and Odds
Underdog and PrizePicks both offer fixed payout multipliers based on the number of correct picks and the contest format. PrizePicks’ maximum payout is typically 25x for a perfect 6-pick Power Play, while Underdog offers up to 20x for a 5-pick entry and up to 1000x in special Streak contests.
PrizePicks Payout Table (Sample):
| Picks in Entry | Power Play Payout | Flex Play (All Correct) | Flex Play (1 Miss) | Flex Play (2 Misses) |
|---|---|---|---|---|
| 2 | 3x | — | — | — |
| 3 | 5x | 2.25x | 1.25x | 0 |
| 4 | 10x | 5x | 1.5x | 0 |
| 5 | 10x | 10x | 2x | 0.4x |
| 6 | 25x | 25x | 2x | 0.4x |
Underdog Payout Table (Sample):
| Picks in Entry | Standard Payout | Flex (All Correct) | Flex (1 Miss) | Flex (2 Misses) |
|---|---|---|---|---|
| 2 | 3x | — | — | — |
| 3 | 6x | 3x | 1x | 0 |
| 4 | 10x | 6x | 1.5x | 0 |
| 5 | 20x | 10x | 2.5x | 0 |
| 6 | 25x | 25x | 2.6x | 0.25x |
| 7 | 40x | 40x | 2.75x | 0.5x |
| 8 | 80x | 80x | 3x | 1x |
Underdog’s best ball and tournament contests offer variable payouts based on prize pools and advancement through tournament rounds, with top prizes reaching millions of dollars in flagship events.
3. User Experience and Interface
3.1. PrizePicks: Simplicity, Social Features, and Mobile Optimization
PrizePicks is widely praised for its clean, intuitive interface on both web and mobile platforms. The app is available for iOS and Android and boasts high ratings (4.7+ on the App Store and Google Play).
Design and Navigation:
The layout is streamlined, with a prominent board for available picks, easy toggles between sports, and quick access to promotions and account settings. Users can build lineups in seconds, with clear visual cues for Power vs. Flex Play and instant feedback on potential payouts.
Mobile App Performance:
The app is fast, responsive, and mirrors the web experience. Features like push notifications for promo drops, projection changes, and lineup reminders enhance engagement.
Onboarding Process:
Registration is straightforward, requiring basic personal information, age verification, and geolocation checks. Deposits can be made instantly via a variety of methods (see Section 5).
Social and Community Features:
In 2025, PrizePicks launched “The Feed,” a social feature allowing users to follow friends, celebrities, and community members, view and copy lineups, and interact in real time. This innovation brings a social dimension to DFS, fostering community engagement and viral sharing of picks.
Accessibility:
PrizePicks supports accessibility features and offers a Help Center with comprehensive FAQs, live chat, and email support. The platform is designed to be beginner-friendly, with clear explanations of rules and payout structures.
3.2. Underdog Fantasy: Versatility, Draft Experience, and App Quality
Underdog Fantasy is lauded for its versatile, user-centric design. The platform supports both web and mobile play, with apps available for iOS and Android. User ratings are similarly high (4.6+ on Google Play, 4.8+ on the App Store).
Design and Navigation:
The interface is modern, with a distinctive yellow-and-black color scheme. Navigation is intuitive, with quick access to Pick’em, Drafts, Results, Rankings, and News Feed. The platform allows seamless switching between contest types and sports.
Draft Experience:
Underdog’s draft lobbies are a standout feature, offering real-time snake drafts with smooth animations and instant feedback. The drafting process is optimized for speed and engagement, making it a favorite for best ball enthusiasts.
Onboarding Process:
Sign-up is simple, requiring basic information, age verification, and geolocation. The platform uses robust identity verification (including SSN and government ID checks) to comply with state regulations.
Mobile App Performance:
The app is highly responsive, with fast load times and minimal lag. All desktop features are available on mobile, including contest entry, deposits, withdrawals, and customer support.
Accessibility and Support:
Underdog offers a comprehensive FAQ, 24/7 live chat, and email support. The platform is designed to accommodate both casual and experienced users, with clear explanations and onboarding guides.
4. Promotions and Bonuses
4.1. PrizePicks: Welcome Offers, Weekly Promos, and Referrals
Welcome Bonus:
New users can claim a “Play $5, Get $50 in Lineups” offer—deposit at least $10, play a $5 lineup, and receive $50 in bonus entries (issued as five $10 lineups). The bonus must be used within 30 days and is not directly withdrawable, but winnings from bonus entries are.
Ongoing Promotions:
- Taco Tuesday: Weekly promo where select player projections are discounted by 15–25%, making “More” picks easier to hit. Users can vote on which players receive discounts via Discord and X (formerly Twitter).
- Flex Friday: Boosts payouts on Flex Play entries by up to 40% every Friday. Users must opt in via the Promos tab.
- Referral Bonus: Users receive $25 in promo funds for each friend who signs up and deposits, up to 10 referrals per 30 days.
- Seasonal and Event-Based Promos: PrizePicks frequently runs special promos around major sports events (e.g., Super Bowl, NBA Playoffs), including “free square” entries and boosted payouts.
VIP Program:
Invitation-only, offering personal account managers, exclusive bonuses, and access to private events for high-volume players.
4.2. Underdog Fantasy: Welcome Offers, Deposit Matches, and Loyalty
Welcome Bonus:
Underdog offers a “Play $5, Get $100 in Bonus Entries” promo—deposit at least $10, play $5 in any contest, and receive $100 in bonus funds. The bonus must be played through once before winnings can be withdrawn and expires after 14 days.
Deposit Match:
In some states, Underdog offers a 50% deposit match up to $1,000 for new users, providing substantial bankroll boosts for high-stakes players.
Ongoing Promotions:
- Multiplier Boosts: Occasional boosts on select props, increasing potential payouts.
- Referral Bonus: $10 bonus for each friend who signs up and deposits.
- Gladiator Program: A tiered rakeback system offering 20–50% rakeback based on total entry fees, credited weekly.
- Money-Back Guarantee: Refunds up to $100 on the first contest if the user is unsatisfied (within 48 hours of signup).
- Seasonal Specials: Event-based promos, including “No Sweat” entries, discounted picks, and leaderboard challenges.
VIP Program:
Invitation-only, with exclusive deposit bonuses, event invitations, and high-touch customer service for top-tier users.
5. Payout Speed and Reliability
5.1. PrizePicks: Fast Withdrawals, Security, and User Feedback
Withdrawal Methods:
PrizePicks supports withdrawals via bank transfer, PayPal, Venmo, and debit cards (if previously used for deposits). Apple Pay and credit cards are deposit-only.
Processing Times:
- PayPal, Venmo, Debit Card: Typically instant after initial verification; first withdrawals may take 6–12 hours for security review.
- Bank Transfer: 1–3 business days.
- Minimum Withdrawal: $10.
- Limits: One withdrawal per 24-hour period; maximum $1,000 per week.
Verification:
Users must verify identity (last four digits of SSN, sometimes government ID). Withdrawals must be made to the same method used for deposits. Deposits must be played through once before withdrawal is allowed.
User-Reported Issues:
Most users report fast, reliable payouts, especially after initial verification. However, some complaints cite delays, additional verification requests, or confusion over playthrough requirements. Customer support is generally responsive, but some users have experienced longer wait times or denied withdrawals due to incomplete verification or mismatched payment methods.
5.2. Underdog Fantasy: Reliable Payouts, Multiple Methods, and Transparency
Withdrawal Methods:
Underdog supports PayPal, Interchecks (for bank transfer, e-check, prepaid card), and Trustly. Deposits can be made via credit/debit card, PayPal, and Trustly.
Processing Times:
- PayPal: 1–2 business days.
- Interchecks/Trustly: 1–5 business days.
- Minimum Withdrawal: $10 (or account balance if less).
- Limits: No explicit maximum; withdrawals are free of platform fees.
Verification:
Underdog requires identity verification (SSN, government ID) and may request additional documentation for large withdrawals. Deposits and bonus funds must be played through once before withdrawal.
User-Reported Issues:
Payouts are generally reliable, though some users report slower processing (especially via Interchecks) and occasional delays due to verification. The platform is transparent about timelines and provides 24/7 support for banking issues.
6. Market Positioning and Brand Perception
6.1. PrizePicks: Innovation, Partnerships, and Responsible Gaming Leadership
PrizePicks is widely recognized as the largest DFS operator in North America, reporting over $1 billion in entry fees in 2024 and 70% year-over-year growth. The platform is lauded for its simplicity, breadth of sports coverage, and innovative features like Live Squares and social sharing. Its partnerships with major sports teams (e.g., Atlanta Braves, San Diego Padres, Houston Astros) and prediction market leaders (Polymarket, Kalshi) reinforce its reputation for innovation and regulatory savvy.
The company’s achievement of iCAP accreditation and its proactive adaptation to legal changes (e.g., shifting to Arena format in California) have bolstered its image as a responsible, compliant operator. PrizePicks is often described as the “simplest fantasy game on the market,” appealing to both casual and experienced users.
Brand Perception:
PrizePicks enjoys overwhelmingly positive app store reviews and is frequently recommended for its user-friendly interface and fast payouts. However, some users and review aggregators have raised concerns about customer service responsiveness and occasional payout disputes, reflected in mixed Trustpilot scores.
6.2. Underdog Fantasy: Community, Best Ball Leadership, and Growth
Underdog Fantasy has carved out a strong niche as the leader in best ball and draft-based DFS, doubling its user base in 2024 to over 3 million active players. The platform is known for its season-long engagement, innovative contest formats, and robust community features. Backed by high-profile investors and partnerships with sports leagues and media companies, Underdog is expanding into sports betting and original content, aiming to become a comprehensive sports entertainment ecosystem.
Underdog’s brand is associated with versatility, user experience, and competitive payouts. Its flagship Best Ball Mania tournaments have set industry standards for prize pools and engagement.
Brand Perception:
Underdog receives high marks for its app quality, draft experience, and customer support. Some users note slower payouts and limited ongoing promotions as drawbacks. The platform’s commitment to responsible gaming and transparency is generally well-regarded, though it has faced criticism for slow response times during peak periods and for restrictions in certain states.
7. Pros and Cons
The following table summarizes the key strengths and weaknesses of each platform, followed by detailed analysis.
| Feature | PrizePicks (Pros) | PrizePicks (Cons) | Underdog Fantasy (Pros) | Underdog Fantasy (Cons) |
|---|---|---|---|---|
| User Interface | Simple, intuitive, fast | Some find it too basic | Modern, versatile, excellent draft experience | Occasional lag during peak times |
| Sports Coverage | 25+ sports, including niche and esports | Some props unavailable in certain states | All major sports, strong in NFL/NBA/MLB | Drafts focus on big four sports |
| Game Formats | Pick’em, Arena, Streak, prediction markets | Limited draft/season-long options | Pick’em, Best Ball, Drafts, Rivals, Champions | Peer-to-peer limited in some states |
| Promotions | Frequent promos (Taco Tuesday, Flex Friday) | Bonus funds not withdrawable directly | Large welcome bonus, deposit match, rakeback | Fewer ongoing promos, VIP by invitation only |
| Payouts | Fast, reliable, multiple methods | One withdrawal per 24 hours, $1,000/week limit | Reliable, multiple methods, no platform fees | Some delays with Interchecks |
| Legal Coverage | 45+ states, proactive compliance | Not available in NV, HI, ID, MT, WA | 40+ states, adapts to legal changes | Pick’em not legal in all states |
| Responsible Gaming | iCAP certified, robust tools | Some user complaints about support | Responsible gaming tools, transparent policies | No iCAP, but strong compliance |
| Social Features | The Feed, copy/share lineups | Social features still new | Community via Discord, news feed | Less in-app social integration |
PrizePicks Pros:
- Simplicity and Speed: Ideal for quick, casual play; easy to build lineups and navigate.
- Broad Sports Menu: Covers mainstream and niche sports, including esports.
- Innovative Features: Live Squares, social sharing, prediction markets.
- Frequent Promotions: Weekly and event-based promos keep users engaged.
- Responsible Gaming Leadership: First DFS operator with iCAP accreditation.
- Fast Payouts: Instant withdrawals via PayPal/Venmo after verification.
PrizePicks Cons:
- Limited Draft/Season-Long Play: No traditional drafts or best ball.
- Withdrawal Limits: One per 24 hours, $1,000/week cap.
- Customer Service: Some reports of slow or unhelpful responses.
- State Restrictions: Not available in a handful of states; some props restricted.
Underdog Fantasy Pros:
- Versatile Game Formats: Best ball, drafts, pick’em, rivals, and more.
- Large Prize Pools: Best Ball Mania and other tournaments offer life-changing prizes.
- User Experience: Highly rated app, smooth drafts, modern design.
- Welcome Bonus and Rakeback: Generous new user offers and ongoing rewards.
- Community Engagement: Active Discord, news feed, and social features.
Underdog Fantasy Cons:
- Fewer Ongoing Promos: Less frequent than PrizePicks.
- Slower Payouts: Some methods take up to 5 days.
- State Restrictions: Pick’em not legal in all states; college props restricted.
- No iCAP Certification: Responsible gaming tools present but not independently certified.
8. Ideal User Profiles
8.1. PrizePicks: The Casual, Multi-Sport, and Social Player
Best For:
- Casual Players: Those seeking a quick, easy-to-understand pick’em experience without the complexity of drafts or season-long management.
- Multi-Sport Enthusiasts: Users who enjoy mixing picks across multiple sports, including niche and international leagues.
- Promo Hunters: Players who value frequent bonuses, discounted props, and event-based offers.
- Social Gamers: Users interested in sharing lineups, following friends, and engaging with the community via The Feed.
- Responsible Gaming Advocates: Players who prioritize platforms with strong consumer protection and responsible gaming credentials.
Location Considerations:
Ideal for users in states where PrizePicks is fully legal and where pick’em contests are permitted. Users in states with restrictions may be limited to Arena or Streak formats.
8.2. Underdog Fantasy: The Draft Strategist, Best Ball Aficionado, and Season-Long Player
Best For:
- Draft Enthusiasts: Users who enjoy the strategy and excitement of live snake drafts, whether for a single day or an entire season.
- Best Ball Players: Those seeking season-long engagement without weekly roster management.
- High-Stakes and Tournament Players: Users aiming for large prize pools and willing to invest in multiple entries.
- Community-Oriented Players: Those who value active Discord communities, news feeds, and peer-to-peer competition.
- Promo Maximizers: Players looking for substantial welcome bonuses, deposit matches, and rakeback rewards.
Location Considerations:
Best for users in states where Underdog’s pick’em and draft contests are fully legal. Users in states with pick’em restrictions may still access best ball and draft formats.
PrizePicks and Underdog Fantasy Conclusion
PrizePicks and Underdog Fantasy have each carved out distinct, influential roles in the U.S. daily fantasy sports ecosystem. PrizePicks excels in simplicity, breadth of sports coverage, and innovative features, making it the platform of choice for casual, multi-sport, and promo-driven users. Its leadership in responsible gaming and proactive legal adaptation position it as a resilient, forward-thinking operator.
Underdog Fantasy, by contrast, is the destination for draft strategists, best ball aficionados, and users seeking season-long engagement and massive prize pools. Its versatile contest formats, robust community, and generous new user offers make it a compelling choice for both casual and serious fantasy sports players.
Both platforms face ongoing regulatory challenges, particularly as states revisit the boundaries between fantasy sports, sports betting, and prediction markets. Their ability to adapt—whether through new contest formats, partnerships, or compliance initiatives—will determine their continued success and influence in the evolving landscape of sports entertainment.
For users, the choice between PrizePicks and Underdog Fantasy ultimately comes down to play style, preferred sports, appetite for promotions, and state-specific legal considerations. By understanding the nuanced differences outlined in this report, sports fans can make informed decisions about where to play, how to maximize value, and how to engage responsibly with the next generation of fantasy sports platforms.