Robinhood Buys Bitstamp for $200 Million
Reading Time: 2 minutes Robinhood has announced the acquisition of Bitstamp for $200 million The purchase represents another step into the crypto world by the company Bitstamp has licenses in over 50 countries Robinhood has announced its acquisition of European cryptocurrency exchange Bitstamp for $200 million, signaling a significant step in the US retail broker’s expansion into the global digital asset market. The California-based company revealed on Thursday that purchasing one of the world’s oldest cryptocurrency exchanges will mark its initial venture into targeting institutional investors. Following the news, Robinhood’s shares surged by 5.4%, reaching their highest levels since December 2021. Robinhood Takes Bigger The post Robinhood Buys Bitstamp for $200 Million appeared first on FullyCrypto.
- Robinhood has announced the acquisition of Bitstamp for $200 million
- The purchase represents another step into the crypto world by the company
- Bitstamp has licenses in over 50 countries
Robinhood has announced its acquisition of European cryptocurrency exchange Bitstamp for $200 million, signaling a significant step in the US retail broker’s expansion into the global digital asset market. The California-based company revealed on Thursday that purchasing one of the world’s oldest cryptocurrency exchanges will mark its initial venture into targeting institutional investors. Following the news, Robinhood’s shares surged by 5.4%, reaching their highest levels since December 2021.
Robinhood Takes Bigger Step into Crypto
Robinhood has been making steady inroads into the crypto market since the turn of the decade, becoming a focal point of the trading frenzy in January 2021, a period which nearly overwhelmed the company and necessitated investment from shareholders to stabilize its finances.
Since then, Robinhood has had ambitions to leverage the growing demand for digital assets into diversifying its offerings beyond memecoins by expanding into credit cards and now cryptocurrency.
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Bitstamp is one of the oldest exchanges in the crypto space, having been founded in 2011, and has been busy collecting the kind of regulatory licenses that appeal to larger companies looking for a quick, legal entry point into the market.
Johann Kerbrat, general manager of Robinhood Crypto, said of the move, “The acquisition of Bitstamp is a major step in growing our crypto business. Through this strategic combination, we are better positioned to expand our footprint outside of the US and welcome institutional customers.”
Last year, digital tokens accounted for 17% of Robinhood’s transaction-based revenues. The company has been intensifying its crypto initiatives, offering trading to European Union customers starting this December.
Bitstamp is the 16th largest crypto exchange by trading volume, according to CoinMarketCap, and provides services to both retail and institutional traders, including cryptocurrency trading, lending, and staking. The exchange boasts over 50 licenses and registrations worldwide, including in the UK, in wich Robinhood does not currently have a presence.
The post Robinhood Buys Bitstamp for $200 Million appeared first on FullyCrypto.
