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Robinhood Turns to Prediction Markets as Crypto Slump Weighs on Results

The company is betting that event contracts can steady revenue beyond crypto cycles.

Overview

  • Robinhood shares rose about 5.7% to $77.88 in recent trading, according to Benzinga.
  • Crypto revenue fell 47% year over year to $134 million in the first quarter of 2026.
  • “Other transaction” revenue, driven by event contracts that let users trade on real‑world outcomes, reached $147 million, up about 320% from a year ago, with contracts traded up 4% from the prior quarter.
  • Robinhood backed a proposed rule to bar slot‑machine and roulette‑style offerings in prediction markets, signaling a focus on price‑discovery products over gambling‑like bets.
  • The company plans a mid‑2026 exchange joint venture with Susquehanna focused on event contracts, building on a base of roughly 27 million funded accounts and about $322–$324 billion in customer assets.