Robinhood Derivatives has suspended its newly launched Super Bowl betting feature just a day after its debut, following a request from the Commodities and Futures Trading Commission (CFTC).
The product, which launched on February 4, was introduced to 1% of Robinhood’s customer base. It allowed users to place wagers on the outcome of the upcoming NFL championship game between the Philadelphia Eagles and the Kansas City Chiefs, scheduled for February 9. The betting feature was developed in partnership with prediction market platform Kalshi.
In a statement released the same day, Robinhood announced that it would pause the rollout of the Pro Football Championship market as it works with the CFTC to address regulatory concerns. Some users had already placed bets before the suspension was announced.
“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 said in its statement.
The suspension follows reports that the CFTC is also investigating Crypto.com and Kalshi over their Super Bowl event contracts to determine if they comply with derivatives regulations. Event contracts differ from traditional sports betting, as they rely on pooled user bets to determine odds rather than a bookmaker setting them.
Robinhood entered the event contracts space in October, offering trades based on the outcome of the U.S. presidential election. This move followed a legal victory by Kalshi against the CFTC, which permitted the platform to offer election-related betting contracts to U.S. users.
