Emerging verticals mapped for operators, with Swivel Gaming CEO Michael Pedersen

Emerging verticals are "no longer a small niche", says Michael Pedersen, who became Swivel Gaming CEO in March and relaunched the business around them. He walks the NEXT.io Podcast through four: sweepstakes, card rips, prediction markets and advanced deposit wagering (ADW).

In this episode

• US iCasino is estimated at $12 to 13 billion for 2026, he says, while the four verticals Swivel deals with are put at $15 to 20 billion in GGR equivalent (11:57).

• On sweepstakes, he says a June reforecast turned an expected 2026 decline into about 10% growth in net purchases; he estimates sweeps players use 10+ accounts against four to five for casino players (13:21, 17:03).

• Card rips use a randomised "gacha" model with packs from $1 to $500; players can ship the card or sell it back. He hears 2026 estimates of $1 to 3 billion in net purchases, and says rips are available in 48 or 49 states as retail sale of goods (24:51, 26:31, 34:20, 38:58).

• For prediction markets, Swivel does not want its own CFTC licence and plugs in third-party providers (44:57).

• ADW uses a live horse race as "the engine underneath the hood" of a slot-like game: about 80% RTP for players, 4 to 10% for operators depending on state (52:26, 59:18).

• He would bet the mix goes from about 90% US and 10% international to closer to 50/50 in three years (1:09:57).

Episode from the NEXT.io Podcast by NEXT.io, published on YouTube.