CRYPTO

Prediction Markets Driving Expansion Plans at Robinhood


Trading platform Robinhood says prediction markets have emerged as one of its fastest-growing product lines in terms of revenue, and is now set to expand its business with a futures and derivatives exchange and clearinghouse.

Since launching its prediction markets in March in partnership with prediction market platform Kalshi, nine billion contracts have been traded by more than one million users, Robinhood said in a statement on Tuesday. 

JB Mackenzie, the general manager of futures and international at Robinhood, said the platform is “seeing strong customer demand for prediction markets, and we’re excited to build on that momentum.”

Robinhood said it is also planning to grow its investment in prediction markets, with a futures and derivatives exchange and clearinghouse, to deepen its investment in prediction markets.

Source: Robinhood

“Our investment in infrastructure will position us to deliver an even better experience and more innovative products for customers,” Mackenzie added.

Robinhood derivatives exchange will launch in 2026

The exchange will have Robinhood as the controlling partner and market maker, Susquehanna International Group as the day-one liquidity provider.

As part of the venture, Robinhood will also acquire MIAXdx, a Commodity Futures Trading Commission (CFTC) licensed derivatives clearing organization and swap execution facility. Robinhood said the derivatives exchange is expected to begin operations in 2026. 

Prediction market interest surging

Prediction markets have become one of the hottest crypto offerings this year, with volumes on platforms such as Kalshi and Polymarket holding firm amid increased mainstream media attention.  

Kalshi is a regulated prediction market platform in the US that operates under the oversight of the CFTC and has a trading volume of $4.47 billion over the last 30 days, according to DeFi data aggregator DefiLlama.

Predictions, Robinhood
Prediction market Kalshi has recorded a trading volume of $4.47 billion over the last 30 days. Source: DefiLlama

In comparison, Polymarket, a US-based cryptocurrency-based prediction market, has recorded $3.58 billion in trading volume over the last 30 days.

Crypto exchanges also expanding into prediction markets

Crypto.com recently started offering a prediction markets platform, which is set to be integrated with Trump Media.

Related: Robinhood tokenizes nearly 500 US stocks, ETFs on Arbitrum for EU users

Crypto exchange Gemini is also planning to launch a prediction markets platform as part of an initiative to create a “super app,” and said on Nov. 11 it filed to become a designated contract market with the Commodity Futures Trading Commission to offer the platform.

Meanwhile, tech researcher Jane Manchun Wong, claimed on Nov.19 to have found website data indicating Coinbase was working on creating a prediction markets platform.

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