Robinhood (HOOD) just stole the spotlight again. This week, the Menlo Park-based brokerage revealed a plan to launch its own CFTC-licensed exchange for event contracts via a joint venture with Susquehanna International Group and Miami International (MIAX).
Under the deal, Robinhood will acquire 90% of MIAX’s MIAXdx derivatives exchange (with MIAX keeping 10%), giving it direct control over the clearing and listing of futures, options, and prediction market contracts. The news sent HOOD shares jumping 10% on the announcement day. That’s hardly surprising. This year, the stock has already nearly tripled versus its January price, as Robinhood’s revenue and user growth have been scorching hot.
