Robinhood Crushes Earnings Expectations Despite Crypto Slump
Robinhood reported record-breaking second-quarter revenue and earnings, despite a decline in cryptocurrency transaction revenue. The online brokerage saw crypto transaction revenue fall to $100 million from about $160 million a year earlier.
The company's overall revenue rose 32% year-over-year to $1.31 billion, while net income increased 48% to $573 million. Transaction-based revenue climbed 44% to $776 million.
Robinhood also reported a significant decrease in crypto notional trading volume on its app, down 35% from the previous year, but still saw $40 billion in total trading volume across platforms, including Bitstamp.
The company continued to expand its digital asset business during the quarter, completing its acquisition of Canadian platform WonderFi and introducing new products such as tokenized US stocks and a decentralized lending product called Robinhood Earn.