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Shares of Robinhood Markets, Inc. HOOD soared 9% on Tuesday as it announced an agreement to acquire Canada-based WonderFi Technologies Inc. in a C$250 million all-cash deal. The transaction aims to deepen the company’s presence in the Canadian digital asset market.
WonderFi, part of Mogo Inc.’s MOGO (a financial technology company) portfolio, operates two of Canada's most prominent regulated crypto platforms—Bitbuy and Coinsquare—managing more than C$2.1 billion in assets under custody.
Mogo played a pivotal role in shaping today’s WonderFi, having orchestrated the July 2023 merger between Coinsquare and WonderFi. This united two of Canada’s most prominent crypto trading platforms.
Besides granting regulatory footing in Canada, the transaction strengthens HOOD’s position in a rapidly growing crypto market. The deal values WonderFi at 36 Canadian cents per share, representing a 41% premium over its May 12 trading price on the Toronto Stock Exchange. The transaction is expected to close in the second half of 2025, pending shareholder and regulatory approvals, and other customary closing conditions.
A Natural Extension of Robinhood’s Crypto Strategy
The WonderFi acquisition complements Robinhood’s existing crypto initiatives, particularly its 2024 deal to acquire Bitstamp (one of the longest-running crypto exchanges in Europe). The addition of WonderFi, with its robust infrastructure and loyal customer base, aligns closely with HOOD’s broader mission to create a global financial ecosystem rooted in accessibility and innovation.
By acquiring Bitbuy and Coinsquare, Robinhood gains platforms that offer crypto trading, staking and custody services. These capabilities enhance the offerings at Robinhood Crypto. The integration of WonderFi’s tech stack and customer-focused design will help Robinhood serve novice and experienced crypto investors across North America.
The deal also builds on Robinhood’s 2024 decision to establish its Canadian headquarters in Toronto, which already houses more than 140 employees. WonderFi’s leadership team will remain onboard, offering continuity and local expertise that will be vital to Robinhood’s growth strategy in Canada.
With this acquisition, Robinhood intensifies competition with companies like Coinbase Global COIN and Wealthsimple Crypto in Canada. WonderFi processed more than C$3.57 billion in trading volume last year, marking a 28% year-over-year increase, demonstrating clear demand for digital asset platforms. The deal positions Robinhood to capitalize on this momentum while differentiating itself through its no-commission, user-friendly platform.