Stock trading app Robinhood is taking a big step into the cryptocurrency industry by announcing its acquisition of crypto exchange Bitstamp. With a price tag of $200 million, this will allow Robinhood to expand its services to institutional clients in the United States.

The deal still needs to be approved by regulators, but completion is expected in the first half of 2025.

Increasing demand for more cryptocurrency products

According to Johann Kerbrat, managing director of Robinhood Crypto, the acquisition was prompted by growing customer demand for more cryptocurrency products. “Everything we’ve done over the last few years has been because our customer engagement has been that they want more crypto products,” Kerbrat said in an interview with the Wall Street Journal.

Robinhood has been working to expand its crypto services since 2018, starting with Bitcoin and Ethereum trading. With the acquisition of Bitstamp, Robinhood will gain access to advanced institutional services including institutional lending, staking, and the Bitstamp-as-a-service white-label solution. This will contribute to the further growth and diversification of Robinhood’s crypto offering.

Strengthen position in cryptocurrency market

Kerbrat emphasized the value of Bitstamp’s reputation in the market: “Bitstamp’s highly trusted and long-standing global exchange has shown resilience through market cycles. By seamlessly linking the customer experience with security across all regions, the Bitstamp team has built one of the strongest reputations among retail and institutional crypto investors.”

Founded in 2011, Bitstamp holds more than 50 regulatory licenses and registrations worldwide. Despite the acquisition, Bitstamp will continue to operate under its own brand name.

With this acquisition, Robinhood confirms its strategy to further strengthen its position in the cryptocurrency market despite ongoing regulatory pressure in the sector.


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