Robinhood Shares Surge as Trump Pushes for Clarity Act

Robinhood's shares rose 5% in premarket trading on Thursday after President Donald Trump urged Congress to pass the Clarity Act, which would split responsibility for digital asset oversight among U.S. regulators.

The move came as bitcoin climbed 3.4%, trading above $71,700. This increase has given investors reason to be optimistic about the prospects of crypto regulation becoming more favorable in the near future.

Robinhood's core business is relying less on crypto transaction revenue and more on equities, options, and event contract trading. The company's July operating data showed that equity notional volume rose 59% year-over-year, while options contracts increased 66%, and crypto notional volume dropped 62%.

Robinhood's customer funds continued to flow in, with net deposits reaching $5.6 billion in July and $74.9 billion over the past 12 months. The company saw an additional 80,000 funded customers join in July, bringing its total funded customer base to 28.5 million.