Robinhood CEO Predicts Prediction Markets Could Become a Major Asset Class

Prediction markets could become one of the largest asset classes, robinhood Chairman and CEO Vlad Tenev suggested Wednesday (nov. 5) during the company’s third quarter earnings call.

Since launching prediction markets on its platform last year with the presidential election markets, Robinhood has doubled its volume of contracts each quarter, Tenev said.

The company’s number of total event contracts traded reached 2.3 billion in the third quarter, and it totaled 2.5 billion in October alone, according too a wednesday earnings release.

“I think it’s really exciting to see where this can go,” Tenev said during the call. “I mean, we love being early to this new asset class, and some people are saying this could be one of the largest asset classes because you can price risk in pretty much anything.”

PYMNTS reported in October that there is a prediction market boom blurring the line between trading and gambling.