Robinhood Restricts High-Risk Prediction Contracts

Robinhood Markets Inc. has restricted access to certain high-risk prediction market contracts on its platform, excluding bets on specific words or phrases in public speeches and events to mitigate risks of insider trading and manipulation. The move, announced amid surging activity in the sector, targets so-called "Mention Markets" and reflects the company's strategy to prioritize regulatory compliance as its prediction markets business expands rapidly in the United States.

The restrictions come as Robinhood's prediction markets have emerged as its fastest-growing segment. In 2025, the platform facilitated trades of more than 12 billion contracts, with monthly volumes exceeding 20 billion at peak periods. Executives project the business could generate around 300 million dollars in annual revenue. Chief Executive Officer Vlad Tenev described the unit as the company's "fastest-growing business ever," highlighting its potential to evolve into a major driver of trading activity, though he cautioned on the need for careful oversight.

Jordan Sinclair, president of Robinhood's U.K. operations, explained the decision in an interview, stating, "We don't necessarily offer all prediction...