Kalshi, Polymarket Competitor Novig Lands $18M in Funding

Kalshi and Polymarket have dominated prediction markets with provocative contracts and social media theatrics, but an upstart called Novig has entered the fray with $18 million in new funding and ambitions to become the U.S. market leader.

New York–based Novig—named for its lack of vig, or built-in commission—runs a peer-to-peer prediction platform for betting on sports outcomes using Novig cash or Novig coins (coins are unredeemable and for fun; cash can be redeemed for “monetary prizes”). The platform is available as an app, which currently covers all major leagues, including the NBA, WNBA, NFL, and MLB.

“Sportsbooks sell you on the dream you can make lots of money,” Jacob Fortinsky, the 27-year-old CEO and cofounder of Novig, tells Front Office Sports. “In reality, the second you make good money they say ‘your money is no good here.’”

From Harvard to $2B in Trading Volume

Founded in 2021 by Fortinsky and Kelechi Ukah while at Harvard University, Novig says it has seen “explosive growth” since launching publicly in September 2024, claiming a more than 50-fold increase in monthly trading and more than $2 billion in annualized volume. Fortinsky declined to share how many people currently use the Novig platform.

The Series A funding was led by Forerunner Ventures, with contributions from venture-capital firms Y Combinator, NFX and, Perceptive Ventures, and Gaingels. Including the Series A, Novig has raised about $33 million total since its formation. It also counts legendary NFL quarterback Joe Montana as one of its investors.

The money is significant but not at the level of Kalshi or Polymarket; the former recently raised $185 million at a $2 billion valuation, while the latter reportedly raised more than $200 million at a $1 billion valuation.

Betting Without the Sportsbook Model

Novig debuted as a regulated sportsbook in Colorado but quickly pivoted to its current sweepstakes format, now available in 38 states.

“We realized the traditional sports betting regulatory environment was not friendly to peer-to-peer,” says Fortinsky.

Right now, Novig is all sports—unlike Kalshi and Polymarket, which allow users to trade on issues like whether it will rain in New York City on a given day or whether President Trump will shake Vladimir Putin’s hand before their upcoming summit in Alaska.

Fortinsky calls Novig “the most advanced prediction market under the hood but also the most accessible,” modeled after major sportsbooks but offering better odds. The start-up plans to expand beyond sports and could pursue a federally regulated exchange, depending on the outcome of Kalshi’s legal battle with the Commodity Futures Trading Commission (CFTC).

“It does feel like we’re entering into the golden age of prediction markets,” Fortinsky tells FOS. “It feels inevitable that they’ll take over.”

Avoiding the Spectacle

Kalshi has embraced political flashpoints, while Polymarket has leaned in to crass gimmicks like bets tied to WNBA games where dildos were thrown on court.

Fortinsky calls such tactics “intentionally provocative,” and says Novig prefers to stay focused on building the best product.

“That may be why not everyone has heard of us,” he says. “We aren’t doing public stunts in the same way that some competitors are. But we almost have blinders on. We’re trying to build the best product, that’s where all our attention is focused.”

The mission, he adds, is “rooted in consumer advocacy” to fix an “exploitative” industry.

“We’re more than happy to be second movers,” Fortinsky says. “They can fight the legal battles, then we’ll swoop in and deliver the best experience for users.”