Robinhood’s Q2 Earnings: Crypto Revenue Soars as Tokenization Bets Intensify
In the second quarter of 2025, Robinhood Markets had a great quarter. The trading platform's sales grew 45% year over year to $989 million
Quick overview
- In Q2 2025, Robinhood Markets reported a 45% year-over-year sales growth to $989 million, with earnings per share more than doubling to $0.42.
- The company's crypto revenue surged 98% to $160 million, largely driven by the acquisition of European exchange Bitstamp, which expanded Robinhood's global crypto presence.
- CEO Vlad Tenev emphasized tokenization as the next major growth engine, launching Robinhood Chain for stock trading in Europe and exploring tokenization of alternative assets.
- Despite strong performance, Robinhood faces regulatory challenges in the U.S. and Europe regarding crypto staking and tokenization, while its stock has risen approximately 170% this year.
In the second quarter of 2025, Robinhood Markets had a great quarter. The trading platform’s sales grew 45% year over year to $989 million, and its earnings per share more than doubled to $0.42, which was much better than what Wall Street had expected.
The high result was due to a lot of trading in many asset classes, with crypto revenue leading the way at $160 million, a huge 98% rise from the year before. Total crypto trade volumes hit $35 billion, a 32% increase from the previous quarter. The total value of all cryptocurrencies rose to $3.36 trillion.
Robinhood’s Bitstamp Acquisition Fuels Crypto Growth
Robinhood’s crypto growth can be mostly traced back to its smart $200 million purchase of the European crypto exchange Bitstamp, which concluded during the quarter. The legacy exchange brought in $7 billion in crypto trading volume and more than 50 regulatory licenses from major jurisdictions, making Robinhood’s crypto presence instantly global.
CEO Vlad Tenev told investors, “The Bitstamp acquisition instantly globalizes our crypto footprint and connects us to institutional demand in a way that’s hard to replicate organically.”
The partnership has allowed Robinhood to speed up its institutional-grade services. For example, it now offers crypto staking for Ethereum and Solana to eligible U.S. users and stock tokenization services in Europe that cover more than 200 U.S. stocks.
Tokenization Strategy Takes Center Stage
Tenev said that tokenization would be the company’s next big growth engine and called it “the biggest innovation our industry has seen in the past decade.” The company just launched Robinhood Chain, a layer 2 blockchain for stock trading in Europe that focuses on tokenization. They have also issued private equity tokens that are similar to shares in companies like OpenAI and SpaceX.
Tenev said, “We think tokenization will do for stocks what stablecoins did for fiat.” He went on to say that they plan to tokenize alternative assets that retail investors have not been able to access before, such as private shares, venture capital funds, and real estate.
The CEO said that once the approach was revealed in Cannes, France, many developers were interested, and many companies wanted to tokenize their assets on Robinhood’s platform. But the tokenization offers have already drawn the attention of regulators, such as a legal investigation in Lithuania and OpenAI’s cautions that Robinhood’s token doesn’t represent real equity in the company.
Broad-Based Trading Surge
Robinhood did well in all trading categories because retail investors were excited about trading again, not just crypto. CFO Jason Warnick said that July was a record month for equity and options trading, and the platform’s 26.5 million funded accounts led to a lot of activity in both markets.
Robinhood Gold, the company’s premium membership program, hit a record 3.5 million subscribers, a 76% increase from the previous year. This helped average revenue per user rise 34% to $151. Platform assets grew by 99% each year to $279 billion, while net deposits for the quarter reached $13.8 billion.
What’s Next for Robinhood (HOOD)?
Robinhood’s change from a commission-free retail trading app to a financial platform with a wide range of services seems to be gaining ground. This quarter, the firm will make Robinhood Banking available to the public. This will provide private banking capabilities to a wider audience. The company is also looking to buy more companies, including the Canadian digital asset platform WonderFi.
Even while the outcomes are good, there are still a lot of regulatory problems. In the U.S. and Europe, the rules for crypto staking and tokenization are still up in the air. The SEC is looking closely at digital asset products, which could mean that companies have to change their plans.
Robinhood’s stock has gone up around 170% this year as investors have welcomed the company’s move into crypto and tokenization. After the earnings report, shares were up nearly 1% in after-hours trading, adding to a 3% rise during the regular session.
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