Robinhood Expands into Prediction Markets with Regulated Exchange Tie-Up

Robinhood is expanding its presence in prediction markets by routing some of its football event contracts through OG.com, a CFTC-regulated exchange. The move aims to increase transparency and regulation in these markets.

In addition to partnering with OG.com, Robinhood will also take equity stakes in OG.com and Crypto.com, valuing Crypto.com at $20 billion, including $5 billion for the spun-off OG.com.

This decision comes as no surprise, given the significant revenue generated by event contracts. In the second quarter, these contracts produced a record $156 million in revenue.