Robinhood Secures Strategic Equity Stakes in Crypto.com and OG.com for Prediction Market Infrastructure Expansion

Robinhood has announced a significant multi-year strategic partnership with Crypto.com and its recently established prediction market platform, OG.com. As part of this agreement, Robinhood has acquired equity stakes in both entities. This collaboration will see Robinhood leverage OG.com’s regulated infrastructure, specifically its Commodity Futures Trading Commission (CFTC)-regulated derivatives exchange and clearinghouse, to facilitate its retail event contracts. The integration is set to commence on Tuesday for eligible customers across the United States.

The terms of the deal, detailed in a press release on Tuesday, stipulate that Robinhood will receive initial equity stakes in both Crypto.com and OG.com. These stakes are valued based on an earlier investment made by Citadel Securities in the platforms. While the precise size and financial value of Robinhood’s holdings were not disclosed, the move underscores a deepening integration within the financial and crypto-adjacent markets.

This strategic alliance follows OG.com’s recent spin-off from Crypto.com, a separation that reportedly valued the prediction market platform at $5 billion. The news also emerges less than two months after reports surfaced indicating that Robinhood was in discussions with Crypto.com to bolster its prediction market offerings, highlighting the swift progression of these negotiations.

OG.com is slated to operate as an independent entity, distinct from the cryptocurrency exchange. Kris Marszalek, CEO of OG.com, has indicated that the platform has ambitions to broaden its scope beyond prediction markets, with plans to introduce futures and perpetual contracts in the future. This suggests a long-term vision for OG.com as a comprehensive derivatives trading venue.

This latest development marks another step in Robinhood’s ongoing strategy to expand its prediction market partnerships and infrastructure. The online brokerage initially launched its prediction markets hub in March 2025, partnering with the CFTC-regulated exchange Kalshi. Since then, Robinhood has actively sought to enhance its capabilities in this burgeoning sector.

The prediction market segment has demonstrated considerable growth for Robinhood. In the second quarter of 2026, event contracts generated an impressive $156 million in revenue, representing a more than tenfold increase compared to the same period in the previous year. This revenue stream has surpassed both its equities transaction revenue, which stood at $129 million, and its crypto revenue, which amounted to $100 million, underscoring the financial significance of these contracts.

Financial analysts are optimistic about the future trajectory of Robinhood’s prediction market business. In July, analysts at Bernstein projected that Robinhood’s overall revenue, inclusive of its prediction market operations, could potentially reach $1.7 billion by 2028. This forecast suggests a continued upward trend and a substantial contribution from this particular business line.

However, the prediction market industry is not without its challenges, particularly concerning regulatory and legal scrutiny. Prediction market operators, including Kalshi, have faced an increasing number of legal disputes from various U.S. states. These states are seeking to apply their existing gambling laws to sports event contracts, creating a complex legal landscape.

A notable instance occurred in April when a Nevada judge issued an extended ban, preventing Kalshi from offering event contracts within the state without first obtaining a gaming license. The judge’s ruling asserted that these products were functionally indistinguishable from traditional betting activities. This decision rejected Kalshi’s defense, which argued that the contracts should be classified as swaps subject exclusively to CFTC oversight.

The legal challenges have intensified in recent weeks. Last week, New Jersey formally petitioned the U.S. Supreme Court to intervene and settle the question of whether states possess the authority to regulate sports contracts offered on prediction markets overseen by the CFTC.

In a statement accompanying the petition, New Jersey Attorney General Jennifer Davenport articulated the state’s position. She highlighted that companies like Kalshi purport to offer legal sports betting nationwide while simultaneously evading compliance with state gambling regulations. Davenport emphasized the necessity for the Supreme Court to resolve this jurisdictional conflict. The outcome of this legal battle could have far-reaching implications for the regulation and operation of prediction markets across the United States.

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