Robinhood announces alliance with Kalshi to enter the Crypto sports prediction market

Robinhood It is associated with Kalshi to offer regulated contracts on parties of the NFL and university football in the US, opening a new front against traditional betting houses.

***

• Robinhood launched a sports prediction market with Kalshi, supervised by the CFTC.
• Users may negotiate contracts on games of games NFL and university football.
• The firm seeks to compete with platforms such as Draftkings and Fanduel, With a regulated financial model.

Robinhood Markets Inc. (Hood), The platform for the trade of actions and cryptocurrencies in the USA., announced a new association with Kalshi, a prediction market based on Blockchain and regulated by the Commission for Basic Products Futures (CFTC). Thanks to this agreement, users may negotiate contracts on the results of parties of the NFL and of university football at the local level, an initiative that combines finance with sports entertainment.

The company reported that the product will be available in its “Prediction Markets Hub”, enabled for the entire United States through the infrastructure of Kalshi. In a statement published in the official blog, it was explained that customers will be able to participate in contracts on the regular seasonal meetings of the NFL and in the parties of the main university conferences, known as Power 4, In addition to independent teams.

This movement represents the entry of Robinhood in a sector historically dominated by betting houses such as Draftkings and Fanduel, belonging to Flutter Entertainment. However, the difference is that operations are not traditional bets, but events of events negotiated as financial products within a federally regulated stock market.

A different model to sports bets

In its announcement, the company stressed that the contracts of Kalshi They work under the logic of financial markets. Unlike bets, where houses establish a line or probability, in this system the price is determined by the interaction between buyers and sellers in the market.

“Event contracts take advantage of the rigor of the structure of financial markets and allow prices to be defined by supply and demand”Kalshi said in his blog. In this way, the results of the matches are not treated as gambling, but as financial instruments linked to verifiable facts.

The alliance with Kalshi allows a Robinhood dodge the regulations that affect the sports betting sector in different states, relying on the license that the CFTC grants the prediction platform. With this, the company ensures a more stable legal land and a narrative focused on financial innovation.

Background in prediction markets

This is not the first incursion of Robinhood In the sector. In March, the company had presented its “Prediction Markets Hub”initially focused on economic and financial events. The expansion towards sport responds to the great popularity of these competitions in the United States, where millions of fans participate in bets of bets and fantasy sports.

The context also includes the rise of crypto-national platforms such as Polymarket, that grew offering contracts on various issues, from political elections to inflation, using stable currencies such as USDC However, the platform faced federal investigations and worked in a gray regulatory area. More recently, he announced a return plan to the United States after acquiring QCX, A regulated derivative exchange.

Robinhood, Instead, he opted from the beginning for an alliance with an authorized partner. With Kalshi, He ensures that users can negotiate on sports, politics, economy and culture in a supervised framework.

Future strategy

The announcement reflects another step in the diversification of products of Robinhood. The firm declared that its objective is to allow anyone to trade, invest or maintain any financial asset from its platform, including transactions linked to events.

“We currently offer contracts in areas such as cryptocurrencies, economy, finance, sports and culture, with more categories, adding continuously,” The company said in its statement.

This advance positions Robinhood Not only in front of competitors in the sports betting sector, but also as an actor capable of redefining how users interact with alternative markets. The fusion between sports and finance can become a catalyst to attract new audiences, both fans and investors interested in diversifying their portfolio through events.

Written article with the help of an AI content editor, edited by Angel Di Matteo / Diariobitcoin

Original image of Diariobitcoin, created with artificial intelligence, for free use, licensed under public domain.

WARNING: Diariobitcoin offers informative and educational content on various topics, including cryptocurrencies, AI, technology and regulations. We do not provide financial advice. Cryptactive investments are high risk and may not be adequate for all. Investigate, consult an expert and verify the applicable legislation before investing. I could lose all its capital.

Subscribe to our newsletter