June 30, 2012 18:30 IST
Promoters have offered $9 million to the winner of the match and $1 million to the loser, making it the biggest celebrity boxing match in history.
Damon Feldman, owner of Celebrity Boxing Federation, and Alki David, a wealthy entrepreneur, originally offered $1 million for the fight, but later realised that wouldn't be enough to grab the stars' attentions.
David said: "The audience needs their imagination captured as much as the fighters do. These are two very important rap artists who will only do this for a big ticket number.
"This is something that should be attractive enough to get them in the ring."
They presented two oversize cheques during their announcement in Beverly Hills.
The plan is for the rappers to fight it out over three one-minute rounds in Las Vegas and if there is no clear winner, an online audience will decide who wins.
The idea came after a nightclub brawl involving the pair led to an innocent girl being hit with a bottle and needing 16 stitches, amongst other victims.
The Beautiful People singer also sustained a bottle cut to his chin during the argument at New York nightclub W.i.P this month (13.06.12).
Damon said: "Instead of doing it in a bar fight, they can get paid."
Chris' representative told E! News: "We collectively have never heard from these people. This is a tacky PR campaign by these people using Chris and Drake."