Key Takeaways
- Robinhood noticed its cryptocurrency transaction income fall 12% to $51 million through the third quarter of 2022 .
- The corporate however reported progress in different areas and noticed lower-than-expected internet losses.
- Robinhood additionally listed new crypto property and prolonged entry to its self-custodied crypto pockets this quarter.
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Robinhood noticed diminished crypto transaction income in Q3 regardless of posting lower-than-expected losses general.
Robinhood Crypto Income Falls to $51M
Robinhood’s crypto transaction income is down.
In response to a press release, Robinhood noticed its crypto transaction income fall 12% to $51 million in Q3 2022.
Earlier experiences point out that the agency noticed $58 million in cryptocurrency transaction income in Q2 2022. Moreover, the corporate noticed cryptocurrency transaction income of $54 million in Q1 2022 and $88 million in Q1 2022.
Robinhood highlighted in its report that it has not too long ago prolonged its crypto options. In September, the corporate rolled out the beta model of its self-custodied crypto pockets to the primary 10,000 customers on its waitlist.
The corporate additionally added help for numerous new property in Q3, together with Cardano (ADA), Uniswap (UNI), Stellar Lumens (XLM), and Avalanche (AVAX). Maybe most notably, it added USDC, its first stablecoin. These new listings apparently didn’t drive up the corporate’s transaction income.
Robinhood’s press launch doesn’t point out much less optimistic occasions that befell in Q3. In August, the New York Division of Monetary Companies fined the corporate’s crypto arm $30 million. The identical month, Robinhood laid off 23% of its workers on account of a weak crypto market.
Regardless of its cryptocurrency losses this quarter, Robinhood noticed elevated exercise in different areas. The agency noticed choices income develop 10% to $124 million and noticed equities income develop 7% to $31 million in Q3.
Robinhood skilled internet losses of $175 million in Q3—significantly decrease than its internet lack of $295 million within the earlier quarter. The corporate’s whole internet revenues elevated 14% sequentially to $361 million in Q3.
The truth that Robinhood confronted decrease losses than anticipated has reasonably benefited the worth of its inventory (HOOD). In response to the Wall Street Journal, shares rose 1.5% after hours regardless of falling greater than than 4% earlier.
Disclosure: On the time of writing, the writer of this piece owned BTC, ETH, and different digital property.
