Cboe and Robinhood plan binary KPI contracts for 23 companies

Cboe Global Markets (Cboe: CBOE) and Robinhood announced plans to launch a new category of binary contracts tied to company-specific key performance indicators (KPIs), with an expected rollout in October 2026, subject to regulatory approval.

The announcement was made at Robinhood's third annual HOOD Summit in Houston, Texas. Robinhood is slated to be the first retail broker to offer the products to its clients at launch.

Cboe plans to initially list contracts for 23 U.S.-listed companies, described in the press release as representing some of the most actively traded U.S. stocks. The products will be SEC-regulated binary options traded on Cboe's registered U.S. securities exchange, distinguishing them from similar event-based contracts currently traded on designated contract markets.

Cboe said it will not charge fees on the KPI binary options through the end of 2026, subject to regulatory review. Robinhood also plans to offer the products with no fees through year-end.

As part of the initiative, Cboe filed an application for temporary registration from the SEC for its U.S. clearinghouse, Cboe Clear U.S., LLC (CCUS), as a Covered Clearing Agency. If approved, CCUS would clear the KPI contracts and may subsequently pursue regulatory approval to expand its clearing services to support additional products, potentially including tokenized binary security options.

JJ Kinahan, Head of Retail Expansion and Alternative Investment Products at Cboe, said the contracts are "designed to provide exposure to key corporate metrics, giving investors a granular way to trade many of the individual components that are being tracked and driving headlines each quarter."

Steve Quirk, Chief Brokerage Officer at Robinhood, said the contracts "give retail investors another tool to inform their strategies and offer an even more precise way to trade on anticipated company KPIs."

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