Cointime

Download App
iOS & Android

Robinhood crypto trading rises 75% in Nov, CEO tips ‘9 figures’ in revenue

Validated Individual Expert

Crypto-friendly trading platform Robinhood has reported a 75% month-on-month increase in digital asset trading volume in November.

In a Form 8-K filing to the United States Securities and Exchange Commission (SEC) on Dec. 4, Robinhood noted that “November Crypto Notional Trading Volumes were roughly 75% above October 2023 levels.”

The activity, however, didn’t translate to equity and options contract trading volumes, which were mostly flat compared to October.

The bumper month marks a reversal for Robinhood, which revealed a 55% decrease in cryptocurrency notional volumes over the year in its Q3 results filing.

As a result, its Q3 revenue came in below analyst estimates for the quarter at $467 million. Transaction-based revenues declined by 11% year-on-year to $185 million, mainly due to the fall in crypto volumes over 2022.

Robinhood’s 8-K report showing preliminary operating data for November 2023. Source: SEC

Robinhood could be eyeing a more profitable fourth quarter in light of the recent crypto market rally, which has seen total capitalization surge 40% to $1.6 trillion over the past two months.

Robinhood co-founder and CEO Vlad Tenev told investors in a November earnings call that the platform could eventually reel “nine figures” in annual revenue.

Speaking to Yahoo Finance on Dec. 4, Tenev said that retail investors were starting to show interest in crypto again.

“You’re starting to see retail investors wake up to certain segments of the rally, and in crypto activity, you’re seeing a groundswell.”

“What tends to happen is, as we’ve seen in the past, as the price of Bitcoin approaches all-time highs, the media coverage and intensity increases,” he said before adding, “I think that plays a role also.”

Robinhood stock prices are up 18% since the beginning of 2023. The company stock, however, has been trending down since mid-July after reaching a 2023 high of just over $13. Robinhood stock was priced at $9.95 in after-hours trading after gaining 2.5% daily at the time of writing.

In addition to launching equities in United Kingdom markets, Robinhood plans to launch futures trading in 2024, pending regulatory approval.

In August, Cointelegraph reported that Robinhood had accumulated 118,000 BTC worth around $3 billion at the time.

Comments

All Comments

Recommended for you

  • JPMorgan Includes BTC in Long-Term Capital Assumption Report, Predicts It Will Be the Best Performing Asset Over the Next Decade

    On October 20, JPMorgan included Bitcoin (BTC) in its latest long-term capital assumption report for the first time. The report, which outlines long-term capital assumptions for 2027, explores the predicted range of BTC returns. JPMorgan forecasts the 10-year annualized returns for Bitcoin under baseline, bullish, and bearish scenarios to be 10.0%, -11.2%, and 16.6%, respectively. Due to Bitcoin's historically unstable correlation with other assets and its extremely high volatility, JPMorgan did not include Bitcoin in the main covariance matrix but instead incorporated it into a simplified independent version. The matrix data shows that Bitcoin's 10-year annualized return baseline is a compound return rate of 10.0%, an arithmetic return rate of 20.9%, and an annualized volatility of 55.0%. BTC is projected to outperform core dollar assets such as cash, diversified bonds, and large-cap stocks, making it the best-performing asset over the next decade.

  • US Spot Bitcoin ETF Sees $526.64 Million Net Inflow Yesterday

    On October 20, according to monitoring by Trader T, the US spot Bitcoin ETF experienced a net inflow of $526.64 million yesterday.

  • US Spot Ethereum ETF Sees Net Outflow of $103.28 Million

    On October 20, according to monitoring by Trader T, the US spot Ethereum ETF experienced a net outflow of $103.28 million yesterday.

  • BTC Surpasses $82,000

    Market data shows that BTC has surpassed $82,000, currently priced at $82,002, with a 24-hour decline of 0.74%. The market is experiencing significant volatility, so please ensure proper risk management.

  • BTC Surpasses $82,000

    Market data shows that BTC has surpassed $82,000, currently priced at $82,038.65, with a 24-hour increase of 0.31%. The market is experiencing significant volatility, so please ensure proper risk management.

  • ETH Surpasses $2400

    Market data shows that ETH has surpassed $2400, currently priced at $2400.26, with a 24-hour decline of 1.33%. The market is experiencing significant volatility, so please ensure proper risk management.

  • BTC Surpasses $81,000

    Market data shows that BTC has surpassed $81,000, currently priced at $81,016.34, with a 24-hour decline of 1.53%. The market is experiencing significant volatility, so please ensure proper risk management.

  • BTC Falls Below $80,000

    Market data shows that BTC has fallen below $80,000, currently priced at $79,940.09, with a 24-hour decline of 3.44%. The market is experiencing significant volatility, so please ensure proper risk management.

  • Philadelphia Semiconductor Index Set to Lose Over $2 Trillion in Market Value in Seven Trading Days

    The Philadelphia Semiconductor Index is poised to evaporate over $2 trillion in market value within seven trading days.

  • Philadelphia Semiconductor Index Drops 4% to Lowest Level in Nearly a Month

    The Philadelphia Semiconductor Index fell by 4.01% during the day, currently reported at 11,215.37 points. Nvidia dropped by 3.25%, Broadcom fell by 2.87%, Micron decreased by 5.79%, Intel declined by 5.81%, AMD dropped by 6.28%, Qualcomm rose by 0.66%, TSMC fell by 4.37%, and ASML decreased by 3.34%.