Categories
Blockchain News Coin News

Robinhood IPO Filing Reveals $88 Billion in Cryptocurrency Trading, Dogecoin 34% of Crypto Revenue

Robinhood’s IPO prospectus shows that 9.5 million customers traded $88 billion of cryptocurrency on its platform in Q1 and the company held approximately $12 billion in crypto assets under custody, a 23-fold increase from last year. Meanwhile, 34% of Robinhood’s cryptocurrency revenue was attributable to the meme cryptocurrency dogecoin.

Robinhood’s IPO Prospectus Reveals Crypto Business Details

Robinhood Markets Inc. (Robinhood) filed a preliminary prospectus with the U.S. Securities and Exchange Commission (SEC) Thursday for its initial public offering (IPO).

The company lists “cryptocurrency trading” through its subsidiary, Robinhood Crypto LLC (RHC) as one of the offerings on the Robinhood platform. The company explained that it “offers commission-free buying and selling of cryptocurrency” through the subsidiary. The crypto trading service was launched on Feb. 20, 2018. The platform currently supports seven cryptocurrencies: bitcoin, bitcoin cash, bitcoin sv, dogecoin, ethereum, ethereum classic, and litecoin.

For the three months ended March 31, Robinhood held cryptocurrencies worth nearly $11.60 billion, in assets under custody. The filing details:

For the three months ended March 31, 2021, 17% of our total revenue was derived from transaction-based revenues earned from cryptocurrency transactions, compared to 4% for the three months ended December 31, 2020.

Robinhood also wrote: “We believe that growing interest and adoption of cryptocurrency will drive increased customer interest in our platform and that we have significant room to grow even within our current customer base.”

In addition, the company pointed out that “A substantial portion of the recent growth in our net revenues earned from cryptocurrency transactions is attributable to transactions in dogecoin.” For three months ended March 31, 2021:

34% of our cryptocurrency transaction-based revenue was attributable to transactions in dogecoin, as compared to 4% for the three months ended December 31, 2020.

As of March 31, Robinhood has also expanded its coverage to 46 states and Washington D.C. The company also supports real-time market data for 10 cryptocurrencies, which is available to all customers. The company further declared:

In the first quarter of 2021 alone, we saw over 9.5 million customers trade approximately $88 billion of cryptocurrency on our platform, and we held approximately $12 billion in cryptocurrency Assets Under Custody as of March 31, 2021, a 23-fold increase from March 31, 2020.

What do you think about Robinhood’s crypto business? Let us know in the comments section below.

Bitcoin News
News, Robin Hood, Robinhood, Robinhood Crypto, robinhood crypto revenue, robinhood dogecoin, robinhood ipo, robinhood sec filing

5 Things to Consider Before Investing in Cryptocurrency

5 Things to Consider Before Investing in Cryptocurrency There is no question that cryptocurrencies have established a new investing sector. With the value of digital currencies such as Bitcoin over ...
Read More

Tax on Cryptocurrency In India – Complete Guide 2022

Wondering how taxation on crypto works in India? How much do you have to pay tax on cryptocurrency in India? How 1% TDS is levied on crypto? Don’t worry we ...
Read More

What Online Industries Affect The Growth of Crypto the Most in 2023?

A cryptocurrency is a form of digital asset that may be traded freely, independent of a bank or centralized authority. The $1 trillion cryptocurrency industry is now represented by 23,994 ...
Read More

New Cryptocurrency Bill Advances to Senate in Brazil

A new cryptocurrency bill was approved by the Chamber of Deputies of the Brazilian Congress last week, and is now awaiting review by the Senate for approval. The project, if ...
Read More

USDC Sees Native Launch on Avalanche

USDC, the second leading stablecoin by market cap, has been launched on the Avalanche blockchain as a native token. Previously, users wanting to get USDC in Avalanche had to bridge ...
Read More
Share with Others