Overview

• Robinhood suspended its 'Pro Football Championship' event contracts after the CFTC formally requested the company to halt customer access to the product.
• The event contracts allowed users to predict the winner of the Kansas City Chiefs vs. Philadelphia Eagles Super Bowl matchup by purchasing outcome-based contracts.
• The product was rolled out to only about 1% of Robinhood's customers before the suspension, with users given the option to close or hold their positions until resolution.
• Robinhood expressed disappointment with the decision, citing prior communication with the CFTC and its efforts to advocate for balanced regulation in the futures and derivatives markets.
• The company plans to work with the CFTC on launching a more comprehensive event contracts platform later this year while continuing to explore potential sports betting opportunities.