In a significant move to bolster its presence in the cryptocurrency industry, Robinhood is set to acquire Bitstamp, one of the oldest and most established cryptocurrency exchanges, for a substantial $200 million. This acquisition is aimed at enabling Robinhood to serve institutional clients in the United States, marking a pivotal expansion of its crypto services. Despite receiving a Wells notice from the SEC in May, Robinhood is forging ahead with this strategic acquisition.
The deal, which is still subject to regulatory approval, is expected to be finalized in the first half of 2025. Johann Kerbrat, the General Manager of Robinhood Crypto, highlighted the rationale behind this acquisition, stating, “Everything we’ve been doing in the past few years has been because our engagement from customers has been that they want more crypto products.” This move reflects Robinhood’s commitment to meeting the growing demand from its user base for a broader range of cryptocurrency products and services.
With this acquisition, Robinhood aims to leverage Bitstamp’s established infrastructure and expertise to enhance its own crypto offerings, particularly for institutional investors. This development is poised to significantly impact the landscape of cryptocurrency trading in the United States, offering more robust and diverse options for investors. Exciting times lie ahead for both Robinhood and the broader crypto community as this deal progresses towards completion.
