Group 1 - Robinhood Markets Inc. and Susquehanna International Group are acquiring a majority stake in LedgerX, a regulated exchange previously associated with the bankrupt cryptocurrency business FTX, positioning themselves strongly in the growing prediction market sector [1] - LedgerX, now operated by Miami International Holdings, is a U.S. derivatives exchange that was once owned by FTX and has close ties to prediction markets, with Susquehanna acting as a market maker for Kalshi, a leading prediction market exchange [1] - The acquisition will allow Robinhood and Susquehanna to gain direct control over the infrastructure needed for listing and clearing event contracts, amidst competition from Wall Street, sports leagues, and crypto companies to shape the future of regulated speculative markets [1] Group 2 - The move may pose a challenge to Kalshi, which has relied on its partnership with Robinhood to push contracts to a broad user base, with over half of Kalshi's business coming from Robinhood in recent months [2] - Robinhood reported that its customers traded 2.3 billion event contracts in Q3, more than double the previous quarter, indicating strong demand for prediction markets [2] - Kalshi has faced significant legal uncertainties, including a recent ruling that requires it to be subject to gambling regulators, which has led to a halt in offering sports contracts in Nevada [2] Group 3 - Several companies interested in prediction markets have acquired regulated derivatives exchanges to offer competing contracts against Kalshi, including DraftKings and Flutter Entertainment's FanDuel [3] - LedgerX was initially a crypto-related derivatives platform and was one of the few solvent business units during FTX's bankruptcy, later acquired by MIAX for $50 million to expand its influence in the crypto sector [3] - MIAX will retain a 10% stake in the new business to maintain exposure to the risks associated with prediction markets [3]

Core Insights - Robinhood Markets and Susquehanna International Group are acquiring a majority stake in the regulated derivatives exchange LedgerX, which was previously owned by FTX Trading Ltd [1] Group 1 - The buyers will acquire approximately 90% of LedgerX's shares, although the specific transaction amount has not been disclosed [1]

(Reuters) -Robinhood Markets and Susquehanna International Group on Tuesday struck a deal to take over a regulated exchange run by ​Miami International Holdings, giving the companies a major boost in their push ‌to establish a stronghold in prediction markets. The companies are acquiring a 90% stake in LedgerX, ‌which was a part of now-defunct crypto exchange FTX. The platform began operating under the MIAX umbrella after parent company Miami International Holdings acquired LedgerX from the FTX bankruptcy ...

Core Insights - The brokerage co-founded by Vlad Tenev is focusing on making exotic investments accessible to ordinary investors, indicating a shift towards democratizing investment opportunities [1] - The company views aggressive traders as a crucial component of its business strategy, suggesting that attracting this demographic is key to its success [1] Company Strategy - The brokerage aims to provide a platform for ordinary investors to engage in exotic investments, which were traditionally reserved for institutional investors [1] - By targeting aggressive traders, the company is positioning itself to capitalize on the growing trend of retail trading and increased market participation from individual investors [1]

Core Insights - Polymarket has received regulatory clearance from the Commodity Futures Trading Commission (CFTC) to operate in the U.S., marking its return after nearly four years of prohibition [6][8][9] - The return of Polymarket coincides with a significant boom in event betting, with various fintech platforms and sportsbooks vying for market share [2][3] - Analysts predict a potential "gold rush" in the predictions market, with numerous sportsbooks competing for users, despite some facing substantial losses [4] Regulatory Developments - The CFTC had previously ordered Polymarket to cease operations in the U.S. in 2022, resulting in a $1.4 million penalty for operating an unregistered trading venue [6] - Polymarket's founder noted that the regulatory approval process, which typically takes years, was completed in just four months [9] Market Dynamics - The predictions marketplace is expanding, with Polymarket set to power a new prediction markets hub in collaboration with Yahoo Finance, and Google planning to support prediction markets data [5] - There is a current live events contract on Polymarket regarding its potential U.S. operations in 2025, with 71% of bettors currently wagering "yes" [9]

The new exchange will help Robinhood offer additional prediction contracts tied to sports, elections and other future events. ...

Core Insights - Miami International Holdings, Inc. (MIAX) has announced an agreement to sell 90% of MIAX Derivatives Exchange (MIAXdx) to Robinhood Markets, Inc. while retaining a 10% stake [1][3] - The transaction aims to provide MIAX with expedited access to growing prediction markets, aligning with its strategy of partnering with industry leaders [3] Company Overview - MIAX operates as a technology-driven leader in regulated financial markets, managing nine exchanges across various asset classes including options, futures, and equities [4] - MIAXdx is recognized as a Designated Contract Market (DCM) and Derivatives Clearing Organization (DCO) with regulatory approval from the Commodity Futures Trading Commission (CFTC) [2] Strategic Implications - The partnership with Robinhood is seen as a logical step for MIAX to enhance its offerings in prediction markets, catering to both institutional and retail futures traders [3] - The transaction is expected to close in the first quarter of 2026, pending customary closing conditions and CFTC filings [3]

Core Insights - Over $500 million in insider stock sales have occurred in three high-profile companies, indicating potential concerns among executives about the sustainability of recent stock gains [2] - Robinhood Markets has seen significant insider sales, with over $286 million sold since October 21, primarily by co-founder Baiju Bhatt, raising questions about insider sentiment [3][4] - Stryker Corporation has also experienced notable insider selling, with over $185 million in shares sold since early November, despite its stable market presence and $142 billion valuation [7] Company-Specific Summaries - **Robinhood Markets**: The company has experienced a 208% increase in share price in 2025, reaching a market capitalization of nearly $103 billion. However, insider sales, particularly by Baiju Bhatt, account for around 23% of total insider selling in 2025, suggesting bearish sentiment among insiders [3][4][5] - **Stryker Corporation**: Despite being a major player in healthcare equipment with a valuation of $142 billion, Stryker has delivered only a 3.5% return in 2025. The company has seen significant insider activity, with over $185 million in shares sold, indicating potential concerns among insiders [6][7]

Group 1 - Harmonic, an AI startup co-founded by Robinhood CEO Vlad Tenev, has successfully raised $120 million in new funding [1] - The funding round has resulted in a valuation of $1.45 billion for the company [1] - The company is focused on addressing AI "hallucinations," which are inaccuracies in AI-generated content [1]

Core Insights - The article discusses the author's transition from being an investment advisor to focusing on personal investments while writing on financial topics [1]. Group 1 - The author has experience as an investment advisor and has owned several businesses [1]. - Currently, the author invests solely for personal purposes [1]. - The author continues to write on various financial and economic topics [1].