Rush Street Interactive's CEO Richard Schwartz announced on Wednesday that the company has filed for designated contract market (DCM) registration with the Commodity Futures Trading Commission (CFTC). He emphasized to investors and analysts that this move is largely a precautionary measure, allowing the company to remain agile in the future if it decides to enter the prediction market sector. Eventive III, LLC, which has connections to Rush Street, submitted the DCM application in May.
"This past quarter, we filed an application for a CFTC-designated contract market license," Schwartz noted during the second-quarter earnings call. "As we've stated before, we maintain a casino-first focus and do not plan to heavily invest in the saturated sports prediction market space. The prediction markets landscape is highly dynamic, and our filing ensures we can adapt to various outcomes as we approach the second half of 2026."
When asked about the DCM registration, Schwartz reiterated that Rush Street's intention to become a DCM does not mean it will follow in the footsteps of other gaming operators like DraftKings, Novig, ProphetX, Sporttrade, Underdog, and Fanatics, which have gained DCM status to facilitate their in-house event contracts. Unlike these companies, Rush Street has opted to remain cautious, focusing on its existing operations alongside other land-based operators like MGM Resorts and Caesars. Schwartz highlighted that as an iGaming-focused operator, the opportunity presented by sports event contracts does not align closely with their business objectives.
On Wednesday, Schwartz also commented on the impact of the growing sports prediction markets on Rush Street's BetRivers operations, indicating little to no adverse effect, as the platform does not cater to the types of sharp bettors typically using prediction markets.
Schwartz remarked, "We see this application as a way to maintain our strategic flexibility and ensure we are not caught off guard by changes in the market or regulatory environment that may become relevant for our business. It's about being prepared and keeping options open."
In conjunction with these developments, Rush Street Interactive reported record revenues for the second quarter, totaling $393.8 million—a 46% increase year-over-year—along with an adjusted EBITDA of $64.6 million, up 61% from a year prior, and a net income of $29.3 million, reflecting a 1.7% rise. This quarterly revenue surge marked the fastest growth rate in over four years, even as the company operated from a much larger revenue base.
Jordan Bender, an analyst at Citizens, pointed out that the EBITDA figure exceeded expectations by 8%. Following these results, Rush Street raised its full-year guidance, projecting revenues between $1.56 billion and $1.6 billion and adjusted EBITDA of $245 million to $265 million, translating to year-over-year growth of 39% and 66%, respectively, at the midpoints.
Regionally, North American revenue saw a 23% rise, while Latin American revenue surged nearly threefold, increasing by 195%. Among Rush Street Interactive's record monthly active users, numbering 949,000, nearly 300,000 were based in North America, with that figure growing by 51% compared to Q2 2025.
Online casino operations accounted for 72% of the company’s revenue, according to Schwartz, and he emphasized that this segment remains the cornerstone of their business. Rush Street ranks among the top four operators in net online casino revenue in the U.S. and has consistently gained market share in this area.
The company’s iCasino users display higher engagement rates and spend more annually compared to online sports betting-only users, contributing gross gaming revenue that exceeds that of sports bettors by more than four times.
Through its BetRivers, PlaySugarHouse, and RushBet brands, Rush Street operates in 15 states and two Canadian provinces, with a recent launch in Alberta's new dual-vertical market on July 13.
In response to a query regarding the potential introduction of RushBet to the U.S. market to appeal to the Spanish-speaking demographic, Schwartz acknowledged this is a topic of internal discussion. He noted that DraftKings had recently introduced a Spanish-language version of its app.
"It’s something we do discuss internally, and we have considered it," Schwartz said. "A multi-brand strategy is something all operators should think about. Certain jurisdictions are more favorable for multiple brands than others, but we see an opportunity to target Spanish-speaking Americans who may prefer a platform tailored to their language. "
