Post By: CryptosHeadlines.com
Online brokerage platform Robinhood has unveiled plans to introduce cryptocurrency trading in the European Union within the next few weeks, as disclosed in its third-quarter earnings report.
The report highlights a 26% decline in Robinhood’s cryptocurrency trading revenue for Q3 2023. Even as the platform expands its crypto offerings into Europe, its earnings from crypto slipped to $23 million, down from the previous quarter.
Additionally, the company reported a 55% year-over-year decrease in crypto revenue, falling from $51 million in 2022. This decrease coincided with an 11% drop in the number of crypto assets held on behalf of customers, which now stands at $10.2 billion. In response, Robinhood’s share price experienced a 7.5% after-market trading decline.
Vlad Tenev, CEO and co-founder of Robinhood, stated, “Looking ahead, we remain committed to delivering leading financial products that cater to a wider range of customer needs, expanding our international presence, and driving positive change in the industry.”
Robinhood Set to Extend Cryptocurrency Trading Reach to Europe
Following its earlier expansion into the U.K. this year, Robinhood is reportedly in the process of widening its cryptocurrency trading services into the European market. Despite a drop in revenue from crypto trading during the third quarter of 2023, the company remains resolute in its pursuit of further growth within the cryptocurrency space.
This move follows Robinhood’s introduction of a crypto wallet in 2022 and a reduction in its U.S. offerings due to regulatory actions from the Securities and Exchange Commission. The company’s foray into the European market signifies a bold strategic step in its quest to establish a stronger presence in the global crypto industry.
Robinhood Delists Tokens from Crypto Trading Platform Amid Regulatory Concerns
Recent reports indicate that Robinhood has removed certain tokens from its cryptocurrency trading platform. This move is seen as an attempt by the company to distance itself from market makers, including Jump Crypto, a major liquidity provider in the crypto market. The decision to terminate this business relationship follows heightened scrutiny by the SEC concerning Jump Crypto’s ties to Do Kwon, the creator of TerraUSD. Robinhood has refrained from making an official statement regarding the removal of these tokens from its platform.
Despite these challenges, Robinhood’s CEO, Vlad Tenev, remains optimistic about the cryptocurrency market. He views the expansion into Europe as an opportunity to introduce new assets to users. However, in the United States, the company is still awaiting regulatory guidance, which could potentially hinder innovation within the cryptocurrency industry.
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