Prospect Markets Focuses on US Launch, Terminates Legacy AI Services Agreement
Newsfile
July 21, 2026 11:55PM GMT
Vancouver, British Columbia--(Newsfile Corp. - July 21, 2026) - Prospect Prediction Markets Inc. (TSXV: MKT) (OTCQB: MKTSF) (FSE: DEP) ("Prospect Markets" or the "Company") today announced that it has entered into a Termination and Mutual Release Agreement (the "Termination Agreement"), effective July 21, 2026, mutually terminating its March 2, 2026 services agreement (the "Services Agreement") with an arm's-length technology provider for the development and licensing of an artificial intelligence liquidity-management tool.
The termination allows Prospect Markets to direct its full focus and financial resources toward its previously announced entry into the United States prediction markets alongside Crypto.com, and toward the build-out of its complementary market-making business.
Since signing the Services Agreement earlier this year, Prospect Markets' strategic priorities have advanced, headlined by the Company's July 7, 2026 letter of intent to enter the US market through infrastructure backed by Crypto.com. Terminating the Services Agreement removes a legacy contractual commitment and preserves the Company's flexibility to deploy capital toward the initiatives it believes will drive the most value: its US prediction market platform, its regulated market entry, and its market-making operation.
Pursuant to the Termination Agreement, no shares have been issued and no fees have been paid by the Company under the Services Agreement, and any right to claim, invoice for, or receive any amounts has been irrevocably waived. The parties have granted each other a customary mutual release of all claims relating to the Services Agreement and Prospect Markets retains all right, title, and interest in its own data, materials, trademarks, and independently developed intellectual property.
Focused on the US Opportunity with Crypto.com
Moving forward, Prospect Markets is concentrating on executing its US market entry. As announced on July 7, 2026, the Company is working with Foris DAX FCM LLC, operating as OG Broker, a registered Futures Commission Merchant (FCM) and related entity of Crypto.com.
Under the contemplated partnership, Prospect Markets would introduce US participants to CFTC-regulated event contracts through OG Broker's licensed infrastructure — the Company's gateway into the United States, the world's largest prediction markets opportunity, which the Company believes represents an addressable market estimated to exceed $1 trillion in annual trading volume1. Subject to the execution of definitive agreements and any applicable regulatory approvals, the parties are targeting a product launch in Q3 2026.
The Company also continues to advance its market-making initiative, which it views as a strategically important and complementary business to its consumer trading platform.
"This is about focus. Our entire organization is now pointed at one thing: bringing a sports-native prediction market to the US alongside our partners at Crypto.com," said Johnny Chen, Founder and CEO of Prospect Markets. "We can now focus all of our efforts on the US launch, our market-making business, and the partnerships we have ahead. Our mission is to make every sports moment tradable, and this keeps us moving toward it as fast as this market demands."
About Prospect Markets
Prospect Markets is the prediction market platform built natively for sports. From the world's largest leagues to niche competitions, Prospect turns every sports moment into a tradable market. Fans trade peer-to-peer on outcomes using real-time data from our second-screen experience which transforms passive viewership into active market participation.
On behalf of the Company:
Johnny Chen
Founder & Chief Executive Officer
Email: [email protected]
Web: www.prospectmarkets.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements regarding: the anticipated benefits of the termination of the Services Agreement and the Termination Agreement; the Company's strategic focus and intended deployment of capital and resources toward its US market entry, consumer prediction market platform and market-making initiative; the Company's contemplated relationship with Foris DAX FCM LLC, operating as OG Broker, and related entities of Crypto.com; the anticipated timing, structure and benefits of the Company's proposed US market entry; the Company's ability to enter into definitive agreements, complete applicable regulatory and operational arrangements and launch products in the United States; the Company's views regarding the size of the addressable market for prediction markets and potential annual trading volume; and the Company's mission, business plans, objectives and growth strategy. Forward-looking information is based on assumptions that management considers reasonable as of the date of this news release, including assumptions that: the Termination Agreement is enforceable in accordance with its terms; the termination of the Services Agreement will preserve capital and operational flexibility; the parties will negotiate and execute definitive agreements on acceptable terms, if at all; required regulatory approvals, registrations or other consents will be obtained or maintained, if applicable; third-party service providers and infrastructure will be available on commercially reasonable terms; the Company will be able to complete its US corporate, regulatory, technological and operational arrangements; anticipated timelines, including the targeted Q3 2026 product launch, will be met; and market conditions and user demand for prediction markets will remain supportive.
Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to differ materially from those expressed or implied by such forward-looking information, including, among others: the risk that the anticipated benefits of terminating the Services Agreement are not realized; risks relating to the enforceability or interpretation of the Termination Agreement and mutual releases; the non-binding nature of the Company's letter of intent and the risk that definitive agreements with OG Broker, Crypto.com-related entities or other counterparties are not entered into, or are entered into on terms different from those currently contemplated; the risk that required regulatory approvals, registrations, exemptive relief, exchange acceptance or other consents are delayed, conditioned or not obtained; the evolving regulatory treatment of event contracts, prediction markets, futures commission merchants, exchanges and clearing arrangements in the United States and other jurisdictions; the risk that the contemplated US launch does not occur on the expected timeline or at all; risks associated with third-party technology, exchange, clearing, brokerage, data and market-making infrastructure; the Company's ability to complete its US corporate, compliance, technology and operational arrangements; market acceptance of the Company's platform and products; competition in the prediction markets and sports trading sectors; changes in applicable laws, regulations, regulatory guidance or enforcement priorities; adverse market, economic, capital markets or digital asset industry conditions; the Company's ability to obtain financing and deploy capital as intended; and the other risk factors described in the Company's continuous disclosure filings available on SEDAR+ at www.sedarplus.ca. Although the Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable, undue reliance should not be placed on forward-looking information. Forward-looking information speaks only as of the date of this news release, and the Company undertakes no obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.
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