Robinhood’s Q3 Crypto Revenue Soars 300%, Boosting Total Earnings to $1.27 Billion
In its impressive third-quarter report Robinhood Markets doubled its overall revenue to $1.27 billion, above Wall Street projections...
Quick overview
- Robinhood Markets reported a 100% increase in revenue to $1.27 billion in Q3, surpassing Wall Street expectations.
- Cryptocurrency trading surged by over 300% year over year, contributing $268 million to the company's revenue.
- The company is expanding its offerings with the acquisition of Bitstamp and the introduction of Prediction Markets, generating over $100 million annually.
- Despite rising operating costs, Robinhood's adjusted EBITDA increased by 177%, indicating strong profitability amid growth investments.
In its impressive third-quarter report Robinhood Markets doubled its overall revenue to $1.27 billion, above Wall Street projections. Cryptocurrency trade was the best performance rising by more than 300% year over year to $268 million in Q3.
Earnings per share increased 259% to 61 cents well above the projected 53 cents, while overall transaction-based revenue increased 129% to $730 million from the same time last year. Additionally Robinhood’s net income increased by 271% to $556 million from $150 million in the previous year.
Despite recent volatility in the cryptocurrency market the company attributed this achievement to increasing user activity in cryptocurrency, options and equity trading all of which led to a stronger-than-expected revenue performance.
Robinhood, the online brokerage that caters to retail investors, reported a third-quarter profit that beat Wall Street expectations but fell short on cryptocurrency revenue https://t.co/41ZCyed5R9
— Bloomberg (@business) November 5, 2025
New Businesses: Bitstamp and Prediction Markets
Robinhood has been growing beyond its origins in conventional stock trading. According to CFO Jason Warnick it recently finished acquiring the international cryptocurrency exchange Bitstamp and introduced Prediction Markets both of which are already bringing in more than $100 million annually.
Investors were informed by CEO Vladimir Tenev that Robinhood has “options to expand into new jurisdictions” and that the company intends to make its Prediction Market offerings available worldwide. Additionally he said that as the DeFi ecosystem develops the company’s tokenized stock products will eventually become more compatible.
Strong Asset Growth and Market Position
Strong net deposits and rising stock and cryptocurrency values helped Robinhood’s total platform assets surpass $333 billion, up 119% year over year. Deposits for the corporation totaled $68.3 billion during the previous year and $20.4 billion in Q3.
Additionally, the platform’s active user base increased. Investment accounts grew by 11% to 27.9 million while funded accounts expanded by 10% to 26.8 million. With an 82% rise the average revenue per user (ARPU) reached $191.
Robinhood Gold the company’s premium subscription program, was another highlight with 3.9 million users a 77% increase in membership.
Rising Costs and Share Buybacks
Strong revenue growth was joined by a 31% increase in operating expenses to $639 million, primarily as a result of increased marketing, expansion, and acquisition costs. However, adjusted EBITDA increased dramatically to $742 million, up 177% year over year, demonstrating that the company is still quite profitable despite its growth investments.
In Q3, Robinhood paid $107 million to repurchase 1 million shares as part of its ongoing share buyback program. At an average price of $37.58 per share, it has repurchased 22 million shares worth $810 million since last year.
Outlook: Expanding Wealth Management and Banking
Robinhood is becoming an actual financial platform instead of just a retail trading software. According to CEO Tenev the business is “not slowing down” citing recent projects like Robinhood Ventures and Banking.
Additionally the company wants to compete with Fidelity and Schwab in the wealth management market by increasing services for high-net-worth customers and providing deposit-matching promotions.
Robinhood’s crypto and wealth divisions are expected to play a significant role in the company’s sustained growth through 2025. Also supporting Bitcoin’s widespread acceptance and bolstering market confidence given record volumes in October and increasing institutional interest.
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