In December 2025, Robinhood announced its participation in the newly formed Coalition for Prediction Markets alongside Crypto.com, Coinbase, Kalshi and other platforms. The coalition’s stated objectives are to establish industry-wide guardrails that prevent insider trading, ensure all participants have equal access to information and push back against state-level gambling regulators seeking to classify event contracts as unlicensed wagers. By pooling resources and lobbying under a unified banner, Robinhood and its partners aim to influence forthcoming Commodity Futures Trading Commission (CFTC) rulemakings, including a long-stalled 2024 proposal to define “gaming” in event-contract regulation.

Robinhood’s involvement in the coalition positions the firm at the center of a broader debate over how prediction markets should be regulated in the U.S. With a dozen senators already querying CFTC Chair Mike Selig on market integrity and the Supreme Court poised to rule on federal versus state jurisdiction, Robinhood stands to benefit if federal oversight prevails. Institutional investors, watching regulatory developments closely, will note that Robinhood’s advocacy may reduce compliance uncertainty and exposure to state-by-state legal challenges. The firm’s strategy underscores its commitment to expanding its derivatives offerings while attempting to safeguard its reputation against allegations of insider-driven market manipulation.