Is Robinhood legal in Illinois?

The short answer

Yes, but contested: Robinhood's sports contracts face an open dispute in Illinois, with no restriction in force.

Illinois Gaming Board cease-and-desist letter to Robinhood (Apr 1, 2025) – source

What you can trade from Illinois

Everything Robinhood lists nationally, including sports contracts: no restriction on them is in force in Illinois while the dispute continues. Other venues here: Kalshi (disputed), Polymarket (disputed), DraftKings (not covered), FanDuel (not covered).

What Illinois's regulator has said

No action against Robinhood specifically is on record; the status above rests on the cited source.

Change log

How this compares to Illinois sports betting

Where a state allows sports betting, sportsbooks are licensed and taxed by that state; an event contract on a federal exchange is neither, which is the whole dispute. The Illinois action concerns Robinhood's sports contracts. Whether a state may enforce at all is the question the federal appeals courts have split on. Illinois is outside the Third, Sixth and Ninth Circuits, the three appeals courts that have ruled. The question is unresolved there. Litigation tracker →