Robinhood Review (October 2026) — 85/100 Tested & Scored

You buy Yes or No contracts, each priced in cents, and they settle at either one dollar or nothing. While some people compare it to sports betting, it's mainly a brokerage product. Robinhood accepts users aged 18 and over.

At a glance

Identity

Legal name: Robinhood
Parent company: Robinhood Derivatives, LLC
Launch year: 2025

Regulatory status

Status: regulated
CFTC registration: Yes
Minimum age: 18+

Regulators: Commodity Futures Trading Commission

Markets and liquidity

Contract type: binary

Categories: Bet on Elections, Crypto Prediction Markets, Culture Prediction Markets, Economics Prediction Market, Sports Prediction Markets

Fees and settlement

Settlement source: Set by the exchange each contract routes to, under that exchange’s rules

Banking

Wire transfer
ACH
Debit cards

What Are Robinhood Prediction Markets?

Does Robinhood Have Prediction Markets?

Yes. Robinhood offers event contracts through a Robinhood prediction markets hub inside its main brokerage app, available on iOS, Android, and desktop. You don't need to sign up separately if you already have a brokerage account.

Who Lists and Clears the Contracts

Robinhood does not list or clear contracts itself. Instead, event contracts are routed through four venues: KalshiEX LLC, Interactive Brokers' ForecastEx, Rothera, and, starting in September 2026, Crypto.com's Derivatives North America and OG.com.

The Robinhood prediction markets Kalshi relationship was the original one and remains the largest single routing path, though Rothera and Crypto.com's venues now handle a growing share. Rothera is a CFTC-licensed exchange that Robinhood invested in with Susquehanna International Group, and it has been live since summer 2026.

When Robinhood Launched Event Contracts

Robinhood prediction markets launch date traces to early 2025, through Kalshi, starting with sports outcomes and Federal Reserve rate decisions. ForecastEx joined next, followed by Rothera in summer 2026, and then Crypto.com and OG.com in September 2026, just in time for the NFL season. Robinhood prediction markets 2026 have meant real change: four routing venues now, up from one at launch.

Event Contracts or Prediction Markets?

Robinhood calls these event contracts. Most readers simply search “prediction markets Robinhood”. They're the same product under two names, spanning both Robinhood football prediction markets and Robinhood sports prediction markets more broadly.

How Robinhood Prediction Markets Work

Buying a Yes or No Contract

How do prediction markets work on Robinhood? You buy a Yes or No contract on whether an event will happen. Each contract is priced in cents, which shows the market's implied probability.

If you're right, the contract pays one dollar; if not, it pays nothing. For example, ten contracts at 60 cents each cost $6.00, and if the event happens, you get $10.00.

The Market Categories Robinhood Covers

Robinhood prediction markets categories currently include:

Plus any other categories offered by the routing venues. World Cup and MLB contracts go through Rothera, and starting in September 2026, Crypto.com's OG.com handles football contracts for the NFL season.

Robinhood processed 13.6 billion event contracts in Q2 2026 alone and more than 30 billion this year through August. Liquidity mirrors whichever venue an order routes to; a Kalshi-routed trade fills at the same depth as one placed on Kalshi directly.

Selling Before the Event Resolves

You can sell your position at any time before the event is resolved.

Is Robinhood Prediction Markets Legal?

Who Regulates These Contracts

Is Robinhood prediction markets legal? Yes, under federal law. Robinhood Derivatives, LLC is a CFTC-regulated intermediary and NFA member, with no DCM or DCO registration of its own.

The exchanges it routes to, KalshiEX LLC, ForecastEx, Rothera, and Crypto.com's venues, hold those designations directly and are listed on the CFTC's own register.

Current state-by-state status lives on our prediction market regulatory tracker. Robinhood's securities business is separately regulated by the SEC and FINRA.

Is This Sports Betting?

Is Robinhood prediction markets sports betting? Event contracts are federally regulated derivatives with no state casino or sportsbook license, even though Robinhood prediction markets gambling comparisons come up often given the sports and football contracts on the platform.

Where You Can Trade Them

Availability tracks whichever venue handles a given contract. Is Robinhood prediction markets legal in Texas? Yes, federally, same as every other state. Robinhood prediction markets Nevada works differently: where an order routes to Kalshi, Kalshi's Michigan, Washington, and Nevada exclusions apply to that contract.

Fees, Payouts and Tax on Robinhood Prediction Markets

Fees Per Contract

Robinhood prediction markets fees per contract are flat: $0.02 per contract, which includes a $0.01 Robinhood commission and a $0.01 exchange fee. For a position of 100 contracts, the total fee is $2.00, no matter the price.

This is cheaper than Kalshi's taker fee near the 50-cent mark, where their fee can reach 1.75%. Position limits are set by the routing venue, and Robinhood does not add any extra cap.

When Contracts Pay Out

Robinhood prediction markets payout after the event is resolved and the routing exchange settles the market. Winning contracts pay one dollar each, while losing contracts pay nothing. Settlement follows the rules of the routing venue, such as KalshiEX, ForecastEx, Rothera, or Crypto.com's venues.

How Robinhood Prediction Markets Are Taxed

How are Robinhood prediction markets taxed? Gains count as reportable income. Robinhood prediction market taxes work through the existing brokerage account, and Robinhood provides the necessary tax document for the year, usually a 1099. You can find details about 1099 tax reporting in the brokerage's tax center. For specific questions, it's best to talk to a tax professional.

Funding and Withdrawing

Robinhood prediction markets draw funding straight from your existing brokerage balance via

ACH bank transfer
Debit card
Wire transfer

The event-contract balance is held in the Robinhood Derivatives account, separate from the stocks and crypto. You can withdraw funds the same way, which is more convenient than platforms that require a separate crypto wallet.

Trading on Mobile and Desktop

Where the Feature Sits in the App

Event contracts sit as a tab inside the main Robinhood app on iOS and Android. There's no separate app to download. This tab format is better for occasional traders, since checking positions takes more steps than with a dedicated app. You can enable or disable the feature from the support page.

Trading event contracts risks the full amount committed to a position, and a contract can settle at zero. This is a brokerage product, and gains are reportable. This content is not financial or tax advice. Availability is subject to the routing venue's own state restrictions.

Frequently asked questions

Does Robinhood have prediction markets?

Yes. You can find event contracts in Robinhood’s main brokerage app under the prediction markets tab. Orders go through Robinhood Derivatives, LLC, and contracts are listed and cleared on CFTC-regulated exchanges like KalshiEX, ForecastEx, Rothera, and, starting September 2026, Crypto.com’s venues.

How do prediction markets work on Robinhood?

You choose a Yes or No contract based on an event’s outcome. Each contract is priced in cents, which shows the market’s implied probability. When the event ends, contracts settle at either one dollar or zero. You can sell your contract anytime before the event is resolved.

Are Robinhood prediction markets legal?

Event contracts are regulated by the federal Commodity Futures Trading Commission, not by state gambling regulators. Robinhood Derivatives is a CFTC-regulated intermediary and an NFA member. The exchanges Robinhood uses have the required designations. Whether you can access these markets depends on the exchange used.

How are Robinhood prediction markets taxed?

Any gains from event contracts count as reportable income, and Robinhood will send you a tax document for that year. For specific tax questions, it’s best to check with a tax professional, who should have the necessary information for taxes and withholding.

What do Robinhood prediction markets cost?

Each contract costs a flat $0.02: $0.01 for Robinhood’s commission and $0.01 for the exchange fee. This is less than Kalshi’s taker fee near the 50-cent midpoint, where the fee can reach 1.75%, which may be seen as high by some users.

Reader reviews

Write a reviewYou need an account to submit a reader review.