Robinhood has pulled its Super Bowl LIX market just one day after providing sports event outcome trading on its popular platform.
The Commodity Futures Trading Commission (CFTC) requested that Robinhood “not permit customers to access” sports contracts as the legality of this form of betting is still in question.
Through a partnership with derivatives exchange Kalshi, Robinhood offered a Big Game wagering-like outcome market to all 50 U.S. states similar to what it did during election season.
“While we continue to work with the CFTC to understand their concerns, we are suspending the rollout of the Pro Football Championship market,” Robinhood said in a statement. “We have rolled this product out to roughly 1% of our customers, and for those who already placed trades, we plan on providing the option to close their positions or take them to resolution.
“We are disappointed by this outcome, especially given that we had been in regular communication with the CFTC about our intent and plans to offer this product.”
Robinhood’s (former) market
The platform with nearly 25 million customers provided the option to purchase contracts on who would win the “Pro Football Championship,” the Kansas City Chiefs or the Philadelphia Eagles.
Robinhood users were able to buy the “Yes” contract with a payout of $1 if the side they picked won the Super Bowl.
Other event-outcome sites
Robinhood might be the biggest name to get involved in trying to offer outcome wagering on a larger scale, but it’s not the first.
A court order helped Kalshi become the first regulated exchange to offer political event-outcome contracts in the U.S. during the 2024 Presidential Election, even though the CFTC opposed the business practice.
The trading company is also offering a Super Bowl outcome market. Purchasing a contract on the Chiefs winning the Big Game for $100 pays out $182. Selecting the Eagles would pay $201 on a $100 contract.
Popular cryptocurrency exchange Crypto.com joined the prediction outcome business when it released a regulated Super Bowl winner market across the U.S. in December. Using hundreds of types of crypto, users can purchase contracts that look similar to what a regulated sportsbook would offer in its futures markets.
Not the end
Robinhood said it plans to work with the CFTC and release a “comprehensive event contracts platform” later in 2025.
“Robinhood is at the forefront of transforming futures and derivatives markets, bringing innovation, accessibility, and simplicity to retail investors,” the company said on its website. “With our commitment to offering low fees, an intuitive mobile experience, and powerful tools, we empower everyday investors to navigate futures markets efficiently.”
Like Kalshi, Robinhood wants to allow customers “new opportunities for risk management and speculation” across multiple industries.
