Robinhood and well-known market maker Susquehanna will launch their own in-house futures and derivatives exchange and clearinghouse in a new joint venture.
The two will launch the business after acquiring a 90% stake in LedgerX, a CFTC-licensed Designated Contract Market, Derivatives Clearing Organisation, and Swap Execution Facility previously fully owned by Miami International Holdings.
Financial details of the M&A deal have not been released, and the venture is expected to start trading sometime in 2026.
Robinhood, which will act as the controlling partner of the JV, will also provide strong retail demand and distribution for the company, according to a press release announcing the move.
Meanwhile, market making giant Susquehanna International Group has been brought on as a key partner and day-one liquidity provider, with others to be added in the future.
JB Mackenzie, Robinhood VP and general manager of futures and international, said: “Robinhood is seeing strong customer demand for prediction markets, and we’re excited to build on that momentum.
“Our investment in infrastructure will position us to deliver an even better experience and more innovative products for customers.”
Robinhood and Susquehanna both Kalshi partners
Currently, the Vlad Tenev-led business offers Kalshi contracts to its retail investor clients, while Susquehanna acts as a market maker for the company – meaning both have strong links to their competitor.
The news comes just as a federal judge in Nevada overturned a previous injunction that had allowed Robinhood and Kalshi to offer sports events contracts in the state, casting a shadow over the emerging sector’s future.
Robinhood outlined that prediction markets have become its fastest-growing product line by revenue, with more than 9 billion contracts traded by over a million customers in the year since launch.
The company said: “By introducing a robust, institutional-grade exchange to the market, we’ll add more choices for consumers. We’ll also gain the flexibility to build faster and deliver more contracts and services to traders.”