Novig is the latest upstart looking to disrupt the sports betting market

Novig is a New York-based technology company that is emerging as an upstart in the U.S. sports betting industry, specializing in commission-free, peer-to-peer sports prediction markets. The company was founded in 2021 by Harvard graduates Jacob Fortinsky (CEO) and Kelechi Ukah (CTO) after they became frustrated with traditional sportsbooks, which they saw as inefficient, discriminatory, and unprofitable for skilled bettors.

While Novig simulates a traditional sports betting experience, it actually operates under sweepstake laws and uses virtual currencies. The platform provides an opportunity to win real cash prizes through the use of Novig Cash, but it is not considered “real betting” in the sense of directly wagering fiat currency on each individual prediction like a bettor would with a traditional sportsbook.

In September 2024, Novig relaunched nationally in 42 states and Washington, D.C., using the sweepstakes-based regulatory model. The approach allows users to participate in sports prediction contests for free (using Novig Coins) or for cash prizes (Novig Cash), sidestepping many state gambling restrictions. The platform currently offers moneyline, spread, totals, and player prop markets across major U.S. sports, with plans to add parlays, same-game parlays, futures, and additional sports, as well as a web-based trading interface.

On LinkedIn, Fortinsky stated that most people do not realize how badly sportsbooks misprice futures. He sees Novig as a step toward fixing a broken market structure.

Novig has attracted significant backing from prominent venture capital firms and individual investors. The company’s seed and Series A rounds raised a combined $14.4 million, with participation from Lux Capital, Y Combinator, Soma Capital, Paul Graham, NFL Hall of Famer Joe Montana, and the founders of Instacart (CART) and Dropbox (DBX). The company’s most recent $8 million Series A round in April 2025 is being used to accelerate product development, enhance analytics, expand marketing, and pursue new partnerships in sports and entertainment.

Looking ahead, Novig aims to refine its prediction market technology, broaden its user base, and expand into new market segments, including advanced sports data science and real-time predictive analytics. Novig also plans to explore international markets and diversify its offerings beyond sports, positioning itself as a long-term innovator in both the sports betting and data-driven entertainment sectors. Despite regulatory scrutiny of sweepstakes models, Novig’s leadership thinks it can reshape the industry by providing a fairer, more engaging, and more profitable experience for sports fans nationwide.

For the sports betting sector as a whole, Novig is another example of a potential market share threat for down the road, on top of the growing emergence of interest in prediction market companies such as Polymarket, PredictIt, Augur, and Kalshi.