{"id":18871,"date":"2025-03-24T21:16:49","date_gmt":"2025-03-24T21:16:49","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=18871"},"modified":"2025-03-24T21:16:49","modified_gmt":"2025-03-24T21:16:49","slug":"massachusetts-regulator-probes-robinhood-over-prediction-markets-hub-reuters","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=18871","title":{"rendered":"Massachusetts Regulator Probes Robinhood Over Prediction Markets Hub: Reuters"},"content":{"rendered":"<div>\n<p>Massachusetts\u2019 top securities regulator has reportedly launched a probe into Robinhood over the popular trading platform\u2019s recent decision to launch an in-app prediction markets hub that allows customers to bet on the outcome of events, including March Madness match-ups.<\/p>\n<\/p>\n<p><a href=\"https:\/\/www.reuters.com\/business\/finance\/massachusetts-regulators-probe-robinhood-over-march-madness-basketball-betting-2025-03-24\/?utm_source=twitter&amp;utm_medium=Social\" target=\"_blank\">According to a Monday report<\/a> from Reuters, Massachusetts Secretary of State Bill Galvin \u2014 a notoriously aggressive regulator \u2014 sent Robinhood a subpoena last week seeking information about the number of Robinhood\u2019s users in Massachusetts that have requested to trade college sports events contracts, and seeking copies of Robinhood\u2019s related marketing materials.<\/p>\n<\/p>\n<p>&#8220;This is just another gimmick from a company that&#8217;s very good at gimmicks to lure investors away from sound investing,&#8221; Galvin told Reuters. Galvin&#8217;s office confirmed the investigation to CoinDesk, and added that Robinhood&#8217;s response to the subpoena is due on April 3.<\/p>\n<\/p>\n<p>Robinhood\u2019s prediction market, which is powered by the Commodity Futures Trading Commission (CFTC)-regulated Kalshi, <a href=\"https:\/\/www.coindesk.com\/markets\/2025\/03\/17\/robinhood-brings-prediction-market-hub-to-market-after-success-of-crypto-based-polymarket\" target=\"_blank\">launched on March 17<\/a> with March Madness-related event contracts, as well as another linked to the upper bound of the <a href=\"https:\/\/www.newyorkfed.org\/markets\/reference-rates\/effr\" target=\"_blank\">target fed funds rate in May<\/a>. At the time of the launch, Robinhood told CoinDesk that it had been in communication with the CFTC \u201cin recent weeks\u201d leading up to the launch.<\/p>\n<\/p>\n<p>A spokesperson for Robinhood reiterated that the event contracts offered through its prediction markets hub were \u201cregulated by the CFTC and offered through CFTC-registered entities.\u201d<\/p>\n<\/p>\n<p>\u201cPrediction markets have become increasingly relevant for retail and institutional investors alike, and we&#8217;re proud to be one of the first platforms to offer these products to retail customers in a safe and regulated manner,\u201d the spokesperson added.<\/p>\n<\/p>\n<p>The trading platform previously attempted to launch its prediction markets hub in February, ahead of the Super Bowl, but delayed the launch <a href=\"https:\/\/frontofficesports.com\/robinhood-to-offer-super-bowl-betting\/\" target=\"_blank\">at the request of the CFTC.<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Massachusetts\u2019 top securities regulator has reportedly launched a probe into Robinhood over the popular trading platform\u2019s recent decision to launch an in-app prediction markets hub that allows customers to bet on the outcome of events, including March Madness match-ups. According to a Monday report from Reuters, Massachusetts Secretary of State Bill Galvin \u2014 a notoriously [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-18871","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/18871","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=18871"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/18871\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=18871"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=18871"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=18871"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}