Robinhood takes stakes in Crypto.com, OG.com in prediction markets deal
Robinhood has acquired equity stakes in Crypto.com and its spun-off prediction market platform OG.com and will route its retail event contracts through OG.com’s CFTC-regulated exchange and clearinghouse under a multi-year arrangement. The rollout to eligible U.S. customers began Tuesday, and the stakes were priced using valuations from a prior Citadel Securities investment, though the companies did not disclose the size of Robinhood’s holdings.
Why It Matters
The deal ties Robinhood’s fast-growing prediction markets business to a CFTC-regulated infrastructure while giving it ownership stakes in the platforms, a move that could accelerate product deployment amid mounting state-level legal scrutiny of event contracts. The partnership also positions OG.com to expand beyond prediction markets into futures and perpetuals, according to its CEO.
Key Facts
- Parties involved: Robinhood, Crypto.com, OG.com
- Agreement: Robinhood to route retail event contracts through OG.com’s CFTC-regulated derivatives exchange and clearinghouse
- Rollout: Began Tuesday for eligible U.S. customers (per the announcement)
- Equity stakes: Robinhood received initial stakes in Crypto.com and OG.com, priced at valuations from an earlier Citadel Securities investment; sizes not disclosed
- OG.com spin-off valuation: OG.com was spun off from Crypto.com at a $5 billion valuation (per report)
Robinhood said it has taken initial equity positions in Crypto.com and OG.com and struck a multi-year deal to route its retail event contracts through OG.com’s Commodity Futures Trading Commission–regulated exchange and clearinghouse. The company announced the rollout to eligible U.S. customers beginning Tuesday, and said the equity stakes were valued using the same marks set by a prior Citadel Securities investment; the firms did not reveal how large Robinhood’s holdings are.
OG.com was recently spun off from Crypto.com at a reported $5 billion valuation and will operate independently from the crypto exchange. OG.com CEO Kris Marszalek indicated the platform intends to broaden its product set beyond prediction markets to include futures and perpetual contracts, signalling ambitions to develop a wider derivatives business.
The move expands Robinhood’s existing prediction markets footprint. The brokerage launched a prediction markets hub in March 2025 initially using Kalshi, and has since broadened its infrastructure partnerships. Event contracts have been a rapidly growing revenue source for Robinhood: they generated $156 million in the second quarter, a more-than-tenfold increase year-over-year and larger than the firm’s $129 million in equities transaction revenue and $100 million from crypto in the same period.
The sector faces rising legal challenges from U.S. states seeking to apply gambling laws to certain sports and event contracts. A Nevada judge recently extended a ban on Kalshi offering event contracts in that state without a gaming license, concluding those products are effectively equivalent to traditional betting and rejecting Kalshi’s contention that they fall exclusively under CFTC oversight. Separately, New Jersey Attorney General Jennifer Davenport has petitioned the U.S. Supreme Court to resolve whether states can regulate sports contracts offered on CFTC-regulated prediction markets, arguing companies are claiming to offer legal sports betting nationwide while not complying with state gambling laws.
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Original source: Cointelegraph