Munich,,Germany,-,January,28,,2021:robinhood,Tading,Application,On,Mobile

Robinhood Steps Into Prediction Markets With Exchange Acquisition, HOOD Up 3%

Robinhood Markets Inc. (NASDAQ:HOOD) is acquiring a CFTC-regulated exchange to take control of prediction markets, which has spiked HOOD 3% in premarket trading.

Robinhood Expands Prediction-Market Push With Licensed Exchange

The company said it will introduce a futures and derivatives exchange and clearinghouse, deepening its investment in the prediction-market category. 

The move comes through a joint venture in which Robinhood will act as the controlling partner.

Susquehanna International Group was named as a day-one liquidity provider, with additional liquidity firms expected to join. 

Robinhood said demand for prediction markets has grown quickly, and the new infrastructure will help deliver faster product rollouts and improved execution for customers.

Deal Includes MIAXdx Acquisition And New Regulatory Pathway

To accelerate development, the venture will acquire MIAXdx, a CFTC-licensed Designated Contract Market (DCM), Derivatives Clearing Organization (DCO), and Swap Execution Facility (SEF), and wholly-owned subsidiary of Miami International Holdings Inc. (NYSE:MIAX)

MIAX will remain invested through a strategic 10% equity stake in the exchange.

Robinhood said the exchange will serve its derivatives unit as well as other FCM platforms. Operations are expected to begin in 2026. 

The firm noted that prediction markets have become its fastest-growing revenue line, with 9 billion contracts traded by more than 1 million customers in the past year.

The company said the new exchange will allow it to introduce a broader slate of contracts tied to economic outcomes, sports, politics, and financial indicators.

Technical Analysis Shows HOOD Attempting A Base

Robinhood Price Prediction as of November 26th (Source: TradingView)

HOOD is stabilizing above the $110 support zone, which has held multiple times this month. 

Price briefly dipped below the long-term rising trendline but reclaimed it, showing buyers protected the structure.

The chart shows a broad symmetrical-triangle breakdown from the $150–$155 region that triggered the recent corrective move. 

The Supertrend remains red near $133.84, signaling that larger-trend momentum is still pointed lower. 

Also, the Parabolic SAR dots remain above price, reinforcing cautious sentiment.

Short-term behavior is improving as price reclaimed the mid-range band near $117.75, and higher lows are forming along the rising trendline. 

This suggests the stock is attempting to build a base rather than extend the selloff.

For the next leg higher, HOOD must break above $121, where horizontal resistance and the SAR line converge. 

A close above that level opens a path toward $130–$133, the region where the Supertrend flips and the broader trend begins to improve.

If price loses $110, the next major support sits near $100.

Why It Matters For Investors

The expansion brings Robinhood into the same regulatory arena occupied by Kalshi and other CFTC-supervised platforms. 

It marks a strategic move into high-frequency retail trading categories that blend information markets with probability-based speculation.

For investors, the shift signals a push toward new, fee-generating products at a time when retail engagement has been volatile. 

The acquisition gives Robinhood direct control over the exchange infrastructure that underpins prediction-market liquidity.

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