Robinhood has acquired a minority stake in Crypto.com and its spin-off company OG.com, and has entered into a multi-year partnership with OG.com. The announcement states that OG.com will provide infrastructure and clearing services for Robinhood’s Prediction Markets platform, with the first features gradually rolling out to eligible U.S. users starting September 8.
OG.com handles post-match settlement.
According to the disclosure, after users place orders on Robinhood, the related event contracts will be processed and settled through the exchange on OG.com. OG.com is a prediction market app launched by Crypto.com in February of this year, which was subsequently spun off into an independently capitalized company.
The company stated that Robinhood will direct retail trading volume from its prediction markets to the OG.com platform. The exchanges associated with OG.com are regulated by the U.S. Commodity Futures Trading Commission (CFTC), and these event contracts also fall under the CFTC’s regulatory scope.
Equity investments are priced based on the valuation from the most recent financing round.
In addition to business collaboration, Robinhood will hold a minority stake in Crypto.com and OG.com. The report notes that the valuation for this equity stake was based on Citadel Securities’ investment terms in Crypto.com in July of this year. That funding round marked Crypto.com’s first institutional investment, valuing the company at approximately $20 billion.
As an independently spun-off company, OG.com is valued at approximately $5 billion. Kris Marszalek, CEO of Crypto.com, said this partnership will help OG.com expand liquidity in the innovative derivatives market.
- Crypto.com is valued at approximately $20 billion.
- OG.com has an independent valuation of approximately $5 billion.
- Partnerships will be rolled out in phases starting September 8.
Robinhood continues to expand its prediction market providers.
Robinhood has been increasingly investing in the prediction markets in recent years. Previously, the platform first integrated contracts from Kalshi, and later shifted part of its trading volume to Rothera—a exchange operated and licensed by the CFTC in partnership between Robinhood and Susquehanna International Group.
With the addition of OG.com, Robinhood now has three providers for its prediction market infrastructure, reducing its reliance on a single platform. Company executives said that as demand for event contracts grows, this partnership further deepens Robinhood’s investment in this business.
Robinhood's event contract revenue surged more than tenfold year-over-year in the second quarter to $156 million, becoming the company's fastest-growing business line. In contrast, its cryptocurrency trading revenue declined by 38% during the same period. This means that prediction markets are taking on a larger share of growth for Robinhood.
Next, go to stock-linked perpetual contracts
The report also noted that Crypto.com received conditional approval for a national trust bank charter in the United States in February this year. The spin-off of OG.com into an independently capitalized company is also seen as another step toward aligning with regulated financial infrastructure.
Both parties have previewed the next phase of their collaboration: launching stock-linked perpetual futures products upon receiving regulatory approval.