Robinhood Reports $31 Million Crypto Trading Revenue in Q2

Robinhood Reports $31 Million in Crypto Trading Revenue in Q2

Robinhood, the online trading platform, has reported a decline in its crypto trading revenue for the second quarter. According to its latest earnings release, the company generated $31 million in crypto trading revenue, down 18% from the previous quarter. This figure accounted for 16% of the total trading revenue across all categories, which saw a 7% decline. Additionally, Robinhood reported having $11.5 million in crypto assets under custody, the same as the previous quarter. In June, the platform ceased support for tokens that were named in the SEC lawsuits against Binance and Coinbase, including Cardano, Polygon, and Solana. Currently, Robinhood offers trading for 15 different cryptocurrencies, including Bitcoin, Ethereum, Dogecoin, and Avalanche. Despite the decline in crypto trading revenue, Robinhood exceeded analyst estimates for the quarter with earnings per share of $0.03 on revenue of $486 million.

Main Points:

Robinhood’s crypto trading revenue for Q2 was $31 million, down 18% from the previous quarter.
This revenue accounted for 16% of the total trading revenue across all categories.
Robinhood reported $11.5 million in crypto assets under custody, the same as the previous quarter.
In June, the platform discontinued support for tokens named in the SEC lawsuits against Binance and Coinbase.
Currently, Robinhood offers trading for 15 different cryptocurrencies.

Hot Take:

While Robinhood’s crypto trading revenue declined in the second quarter, the platform still exceeded analyst expectations with its overall earnings. The decision to end support for certain tokens named in the SEC lawsuits demonstrates the company’s commitment to regulatory compliance. However, it remains to be seen how this move will impact the platform’s user base and future growth in the crypto market.