According to a Wall Street Journal report on Friday, Robinhood is currently in talks with Crypto.com. The goal is to expand prediction market offerings on its platform, with plans to list “yes or no” event contracts supplied directly by the crypto exchange.
This is not Robinhood’s first move into the prediction market space. The retail brokerage officially launched its prediction market hub in March 2025. It initially partnered with Kalshi to comply with regulatory frameworks under the US Commodity Futures Trading Commission (CFTC), before switching to ForecastEx and Rotella. The prospective expansion with Crypto.com would further diversify Robinhood’s product lineup, moving the platform beyond conventional stock and crypto trading.
Backed by a National Charter from the OCC
The choice to partner with Crypto.com has clear legal grounding. The exchange previously secured a national trust charter from the US Office of the Comptroller of the Currency (OCC). Backing from a federal charter serves as crucial leverage to navigate the US market, given that the regulatory landscape for event contract products remains fraught with legal uncertainties.
Eyeing $1 Trillion Amid Jurisdictional Battles
The target market holds massive growth potential. Analysts at research firm Bernstein projected in April that global prediction market volume could surpass $1 trillion by 2030. However, any company vying for a share of this market must confront a complex web of US jurisdictional issues.
To date, the CFTC maintains its claim of exclusive jurisdiction over event contract products. This position has sparked prolonged legal tensions with state-level gambling regulators. Numerous US states have refused to yield, actively filing a series of lawsuits to block or restrict prediction market operators within their borders.
For Robinhood’s management, this move means pursuing a potential multi-trillion-dollar market while navigating legal disputes between federal and local authorities. For retail users, another risk emerges: beyond simply losing on event contract predictions, the platforms hosting them could suddenly be banned from operating by their respective state regulators.
Reported by Cointelegraph.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
