Robinhood, one of the largest players in the financial technology market, presented its results for the first quarter. Despite the fact that revenue and income from crypto trading decreased, the company was able to exceed analysts’ expectations. Revenue decreased by 8.6% and amounted to $927 million. Crypto revenue fell by 30% and reached $252 million.
Crypto trading volume decreased by 35%. The decline in indicators is due to several factors: The introduction of tariffs by the Trump administration led to a drop in crypto market capitalization by 18%. The number of customer transactions decreased by 10%, and the average nominal volume of one transaction – by 27%.
CEO Vladimir Tenev said that the company will continue to monitor fluctuations in crypto trading volumes. Robinhood is focused on capturing a larger share of the market. Despite some declines, crypto revenue is up 100% year-over-year, with trading volumes up 28%. The company added $500 million to its share buyback program. So far, $667 million worth of shares have been repurchased.
Robinhood acquired Bitstamp for $200 million. The company hopes to receive regulatory approval in mid-2025. Regulatory pressure has eased following the completion of the SEC investigation.
Vladimir Tenev emphasized the importance of integrating crypto tokenization into the company’s services. Tokenization of private shares can solve problems in the secondary market and unlock economic value for the crypto industry in the US.
Robinhood continues to evolve and adapt to changes in the market. The company aims to capture more market share and integrate new technologies into its services.
