Robinhood's Event Contracts Outpace Crypto Revenue in Q2

Retail trading platform Robinhood has seen its event contract business outperform its cryptocurrency trading revenue for the first time, according to its Q2 2026 results. Event contracts brought in $156 million, surpassing crypto trading's $100 million. This marks a significant shift for the company, which was built on the back of the 2021 crypto boom.

Robinhood's record quarterly revenue of $1.31 billion, up 32% from last year, includes $342 million in options and $129 million in equities trading. However, crypto revenue fell 38% to $100 million, while event contract revenue rose more than tenfold.

The company's partnership with Rothera, a CFTC-licensed exchange and clearinghouse, has been instrumental in its success in this area. Rothera handled over 3.5 billion contracts to date, while total event contracts traded across Robinhood reached 13.6 billion for the quarter.

While some have welcomed the growth of prediction markets, regulators are taking notice of their potential impact on the line between trading and gambling. The regulatory environment remains uncertain, with Bernstein projecting that prediction-market revenue could compound at 64% annually through 2028, reaching $1.7 billion.