Robinhood takes stake in Crypto.com and OG.com

Prediction markets platform Robinhood has taken equity stakes in both Crypto.com and OG.com as part of a deal for the latter to provide its infrastructure to Robinhood.

Neither Robinhood nor Crypto.com confirmed the valuation of the stake but said it is priced in line with Citadel Securities’ recent US$20bn valuation of the Crypto.com Group.

This included a $5bn valuation of OG.com, which spun off from Crypto.com as an independent trading platform.

Now, Robinhood will route retail event contract volume through OG.com’s underlying Commodity Futures Trading Commission (CFTC) derivatives exchange and clearinghouse architecture.

Crypto.com said the agreement is OG.com’s “largest B2B prediction markets partnership” in terms of transaction volumes.

Robinhood expands prediction markets offering

Robinhood said the deal will now offer a “more dynamic” event catalogue spanning macroeconomic indicators, global sports, elections, and cultural milestones.

The deal will also help behind the scenes with liquidity and clearing, the company said.

“Teaming up with Crypto.com and OG.com strengthens our position as a leader in the prediction markets space and gives us even more skin in the game,” said JB Mackenzie, vice president and general manager of Futures and Prediction Markets at Robinhood.