Robinhood announced Tuesday it will take minority equity stakes in Crypto.com and OG.com, a prediction markets platform that Crypto.com launched in February and later spun off as a separately capitalized company. Under the agreement, OG.com will serve as an infrastructure and clearing provider for Robinhood's prediction markets, processing and settling trades once customers place bets.
Robinhood will route retail volume through OG.com's exchange, which is regulated by the Commodity Futures Trading Commission. The companies described the partnership as OG.com's largest business-to-business arrangement by trading volume, with phased rollout to eligible U.S. customers beginning September 8.
The equity stakes are priced in line with Citadel Securities' July investment in Crypto.com, which valued the exchange at $20 billion. OG.com's standalone valuation stands at $5 billion.
Prediction markets allow users to trade contracts on whether specific events will occur, such as Federal Reserve rate decisions or election outcomes. Robinhood has made these contracts its fastest-growing product line, with event contract revenue surging more than 10-fold year-over-year to $156 million in the second quarter.
The deal diversifies Robinhood's infrastructure suppliers. The company previously built its prediction markets on Kalshi's contracts and began shifting volume to Rothera, its own CFTC-licensed exchange operated as a joint venture with trading firm Susquehanna International Group.
Market reaction was positive, with Robinhood shares climbing approximately 3.4% in premarket trading Tuesday to around $126. Crypto.com's CRO token jumped more than 6% to $0.06, reaching a daily high of $0.065.
Both companies indicated the next phase would include equity-linked perpetual futures, pending regulatory approval.
