Robinhood has taken equity stakes in Crypto.com and OG.com, a prediction market platform recently spun off from Crypto.com, under a multi-year partnership agreement. Under the deal, Robinhood will route retail event contracts through OG.com's Commodity Futures Trading Commission (CFTC)-regulated derivatives exchange and clearinghouse, with the rollout beginning Tuesday for eligible US customers.
The stakes were priced at valuations established by a recent Citadel Securities investment in the platforms. Neither company disclosed the size or value of Robinhood's holdings. OG.com was spun off from Crypto.com at a $5 billion valuation.
OG.com will operate independently from the crypto exchange. CEO Kris Marszalek indicated the platform plans to expand beyond prediction markets into futures and perpetual contracts.
Expanding Prediction Markets Business
Robinhood launched its prediction markets hub in March 2025 with CFTC-regulated exchange Kalshi and has since expanded its prediction market infrastructure. Event contracts generated $156 million in revenue for Robinhood in the second quarter, up more than tenfold from the previous year, surpassing its $129 million in equities transaction revenue and $100 million from crypto.
Legal Challenges Mounting
Prediction market operators face growing legal challenges from US states seeking to apply gambling laws to sports event contracts. In April, a Nevada judge extended a ban preventing Kalshi from offering event contracts in the state without a gaming license, determining that the products were effectively indistinguishable from traditional betting.
The legal disputes escalated when New Jersey petitioned the US Supreme Court to weigh in on whether states can regulate sports contracts offered on CFTC-regulated prediction markets. New Jersey Attorney General Jennifer Davenport said companies such as Kalshi claim to offer legal sports betting nationwide while refusing to comply with state gambling laws.
