Since the launch of its prediction markets in March, Robinhood has recorded nine billion contracts traded, thanks to over a million users participating on the platform. Trading platform Robinhood indicates that prediction markets are its fastest-growing product line in terms of revenue and is looking to expand further with a futures and derivatives exchange and clearinghouse.

Details on Market Growth

In a statement, Robinhood revealed a partnership with Kalshi, leading to this remarkable trading volume. General Manager JB Mackenzie commented on the success, stating, “We’re seeing strong customer demand for prediction markets, and we’re excited to build on that momentum.”

Robinhood is committed to increasing its investment in these markets to enhance the user experience and introduce innovative products.

Future Launch of the Derivatives Exchange

Expected to launch in 2026, Robinhood’s derivatives platform will feature the company as the controlling partner, and Susquehanna International Group will act as the liquidity provider from day one. Additionally, Robinhood will acquire MIAXdx, a CFTC licensed derivatives clearing organization.

Rising Interest in Prediction Markets

This year has seen a surge in interest in prediction markets, with the likes of Kalshi and Polymarket maintaining consistent trading volumes, bolstered by mainstream media attention. Kalshi, a regulated prediction market platform, has reported a trading volume of $4.47 billion over the last month. In contrast, Polymarket has achieved $3.58 billion in the same timeframe.

Other crypto exchanges, including Crypto.com and Gemini, are also venturing into the prediction markets, highlighting a broader trend in the industry. Interestingly, tech researcher Jane Manchun Wong has indicated that Coinbase is developing a prediction markets platform as well.

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