Underdog scores $70M in Series C led by Spark Capital, valuation soars to $1.225B

In a major move for U.S. sports gaming, Underdog has secured a $70 million first close in its Series C funding round, with the raise expected to exceed $100 million.

The round is being led by Spark Capital, one of Silicon Valley’s premier venture capital firms, and it values Underdog at $1.225 billion pre-money —nearly triple its 2022 Series B valuation.

The investment represents the largest from a top-tier VC into the sports gaming space, signaling both confidence in Underdog’s trajectory and a broader shift in how venture capital is viewing the U.S. sports betting and fantasy sector.

Founded in 2020, Underdog has quickly emerged as a standout in a saturated industry, thanks to a customer-first approach and its rare position as the only major operator running on its own proprietary technology.

This has allowed the company to iterate quickly, build tailored experiences for American sports fans, and steer clear of the third-party platforms commonly used by competitors.

“We’re going to continue to invest in people and product – and as fast as we can,” said Jeremy Levine, CEO and founder of Underdog. “There is so much more to build, and we’re going to keep building.”

With nearly four million customers nationwide, Underdog is already the fourth most downloaded sports gaming app in the country — spanning both fantasy sports and betting verticals. The company also operates a growing media arm, producing original content like Gil’s Arena, currently the fifth-largest daily sports show across all mediums.

According to Will Reed, General Partner at Spark Capital, the decision to back Underdog was driven by a shared belief in product innovation and customer obsession.

“Underdog has proven they can win where it matters most: product,” he said. “They’ve also shown they can attract top talent from gaming, tech, and sports. We see massive opportunity ahead and are thrilled to be on the journey with them.”

As competition in the U.S. sports gaming space intensifies, this funding will help Underdog scale product development, expand its talent pool, and reinforce its media presence — all with an eye toward making sports more engaging for fans.

With Spark’s backing and a billion-dollar-plus valuation, Underdog is well-positioned to keep disrupting an industry that’s only beginning to tap its full potential.

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