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Robinhood expands football prediction contracts via Crypto.com partner OG.com
The partnership adds OG.com as a CFTC-regulated venue for selected football contracts and includes minority equity stakes in OG.com and Crypto.com.
Robinhood shares rose after the fintech firm announced a strategic partnership with Crypto.com and its prediction markets platform, OG.com, to expand Robinhood’s event-contract offering ahead of the U.S. football season and the November midterm elections, according to Yahoo Finance.
The agreement will route selected football event contracts through OG.com, an independent derivatives exchange and clearinghouse regulated by the CFTC. As part of the deal, Robinhood also took minority equity stakes in both OG.com and Crypto.com.
The investments were priced in line with a recent transaction that valued OG.com at $5 billion and Crypto.com at $20 billion. Yahoo Finance also noted that prediction markets have become an important growth driver for the Nasdaq-listed firm, including record $156 million in event-contract revenue in fiscal Q2.
Looking ahead, the outlet said Bernstein analysts maintained an Outperform rating and a $160 price target for Robinhood, citing potential upside of more than 30% from current levels. The research note also pointed to Robinhood Chain, estimating about $39 million in cumulative fees since July 1 launch and projecting about $160 million in annual fees by 2028, per Yahoo Finance.
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