Robinhood has agreed to acquire Bitstamp, a leading bitcoin and cryptocurrency exchange, for $200 million in cash, marking a significant expansion of its bitcoin and cryptocurrency business. The deal is expected to close in the first half of 2025.
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Founded in 2011, Bitstamp is one of the oldest and most established crypto exchanges in the world. It operates in Europe, Asia and the US, with more than 50 licenses worldwide. The acquisition will place Bitstamp's institutional and retail clients under the Robinhood umbrella.
Robinhood aims to leverage Bitstamp's reputation for resilience and trust to bolster its own bitcoin and cryptocurrency offerings. Bitstamp went through more than a decade of market cycles and maintained high security standards.
The purchase comes as Robinhood faces SEC scrutiny over its cryptocurrency division. However, bitcoin and cryptocurrencies remain a key driver of growth, with transaction revenue from cryptocurrency trading increasing 40% last year. Acquiring an established platform like Bitstamp could significantly expand Robinhood's global reach.
Robinhood CEO Johann Kerbrat said the deal is an “important step in the growth of our cryptocurrency business” and will help Robinhood “expand our footprint outside the US and welcome institutional clients.” . Robinhood CEO Vlad Tenev says: “We believe cryptocurrencies will fundamentally reorganize the financial system.”
Robinhood already offers bitcoin and cryptocurrency trading services in the EU. But the Bitstamp purchase provides a ready-made customer base and regulatory licenses in multiple jurisdictions. As demand for bitcoin increases, the acquisition positions Robinhood to capture growing trading volumes.
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