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Robinhood doubles down on prediction markets with new exchange

Stock trading app Robinhood is boosting its predictions market offering through the launch of a futures and derivatives exchange and clearinghouse.

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Robinhood doubles down on prediction markets with new exchange

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

The exchange will be managed by a joint venture, with Robinhood Markets serving as the controlling partner and Susquehanna International Group brought on as a partner and day-one liquidity provider.

To help ensure a 2026 launch, the JV is buying a 90% stake in MIAXdx, a CFTC-licensed derivatives exchange.

MIAXdx was originally called LedgerX and owned by bankrupt crypto giant FTX before being taken over in 2023 by Miami International Holdings, which will retain a 10% stake in the venture.

Robinhood says that its prediction markets business has quickly become its fastest-growing product line by revenue. Just one year since launch, nine billion contracts have been traded by more than a million Robinhood customers.

Says a statement: "By introducing a robust, institutional-grade exchange to the market, we’ll add more choices for consumers. We’ll also gain the flexibility to build faster and deliver more contracts and services to traders."

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Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

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