Robinhood looks better placed than competitors for prediction-market upside, Mizuho says

Source: CryptoNewsNet Original Title: Robinhood looks better placed than Coinbase for prediction-market upside, Mizuho says Original Link: Robinhood (HOOD) could see more revenue upside from prediction markets than a certain compliant platform as users deploy fresh cash rather than sell existing holdings, according to a survey by Japanese investment bank Mizuho (MFG).

“We expect a bigger percentage revenue benefit to HOOD given that the survey showed that users on that platform are more inclined to fund prediction markets portfolio with fresh money,” wrote analysts Dan Dolev and Alexander Jenkins, in the report.

Robinhood and certain platform users are far more likely than other investors to trade prediction markets, with activity skewed to economic and political events, the analysts found. The bank raised its revenue forecasts for Robinhood but cut its price target on concerns that prediction-market activity may cannibalize crypto trading.