Robinhood Expands Portfolio with $200 Million Bitstamp Acquisition

US-based brokerage firm Robinhood has made a significant move in the cryptocurrency market by acquiring Bitstamp, a Luxembourg-based crypto exchange, for $200 million in cash. This acquisition, announced on June 2, allows Robinhood to enhance its offerings by integrating Bitstamp’s extensive network of over 50 licenses. With this strategic purchase, Robinhood aims to expand its services to institutional investors, marking a new chapter in its growth within the crypto space.

Details of the Acquisition

Robinhood’s acquisition of Bitstamp, which is recognized as the longest-running crypto exchange globally, is a pivotal step for the brokerage firm. Founded in 2011, Bitstamp has established itself with offices in various locations, including Singapore, Slovenia, the UK, and the US. The deal was first hinted at by Johann Kerbrat, the general manager of Robinhood Crypto, during an interview last year. Following the acquisition, Bitstamp has rebranded itself as “Bitstamp by Robinhood” across its online platforms. This rebranding signifies a new era for both companies as they work together to leverage their strengths in the cryptocurrency market.

Vlad Tenev, CEO and co-founder of Robinhood, expressed enthusiasm about the acquisition, stating that it adds a globally-scaled crypto exchange to their portfolio and marks the launch of their first institutional crypto business. He emphasized that this is just the beginning of their collaborative efforts to enhance the crypto trading experience for users.

Bitstamp’s Legacy and Future

Bitstamp has built a reputation over its 14 years of operation, being trusted by institutions for its reliable trade execution and deep order books. The exchange offers various services, including crypto-as-a-service, institutional lending, and staking. In a blog post, Bitstamp highlighted its commitment to providing a secure and efficient trading environment, which will now be further strengthened by Robinhood’s resources and global vision.

As of April 30, 2025, Bitstamp served over 500,000 retail customers and approximately 5,000 funded institutional clients. The exchange reported an annual revenue of $95 million, showcasing its robust business model. With Robinhood’s backing, Bitstamp aims to expand its reach and enhance its service offerings, ultimately benefiting its existing and future customers.

Financial Implications and Integration Plans

Following the acquisition, Robinhood disclosed its expectations regarding the financial implications of integrating Bitstamp into its operations. The firm anticipates incurring approximately $65 million in Bitstamp-related costs for the remainder of 2025. These costs will primarily consist of adjusted operating expenses associated with business operations and integration efforts.

JB Graftieaux, CEO of Bitstamp, commented on the integration, stating that combining Bitstamp’s platform and expertise with Robinhood’s ecosystem will provide users with an improved trading experience. The focus will remain on compliance, security, and customer-centric services as both companies work together to create a seamless transition for users.

Despite facing legal challenges from the US SEC last year regarding alleged violations of securities laws, Robinhood’s situation has improved following the recent political changes in the US. The SEC has since closed its investigation into the firm, allowing Robinhood to move forward with its plans in the cryptocurrency market without further legal hindrances.

Looking Ahead

The acquisition of Bitstamp marks a significant milestone for Robinhood as it seeks to establish a stronger foothold in the cryptocurrency sector. By integrating Bitstamp’s established infrastructure and expertise, Robinhood aims to enhance its service offerings and cater to a broader range of clients, including institutional investors. As both companies embark on this new journey, the focus will be on expanding access to cryptocurrency trading while ensuring a secure and compliant environment for all users.

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