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Robinhood has seen explosive growth in its crypto business, with a staggering 700% increase in crypto revenue, according to Johann Kerbrat, Head of Crypto at Robinhood.
Speaking with Roundtable host Scott Melker podcast, Kerbrat credited the surge to increased enthusiasm among customers and expanded offerings on the platform.
“It’s been a great quarter for us, and I think we’ve seen a lot of enthusiasm from customers in the crypto space since the election,” Kerbrat said. “And we’ve also been able to take advantage of the momentum. We’ve been able to add new assets on the platform. We also rolled out crypto to our new web platform called Revenue Legend. And so yeah, overall it’s been a great quarter, and we’re excited to continue this journey with our customer.”
Robinhood Markets, the California-based firm that gained prominence during the 2021 GameStop short squeeze, exceeded $1 billion in revenue in the fourth quarter, largely driven by a surge in crypto trading during the 2024 presidential election. The election cycle saw one in seven voters identified as "crypto voters," contributing to increased market activity.
The firm’s revenue significantly outperformed expectations, surpassing the $940.8 million analyst estimates by $69.2 million.
Will crypto growth continue in 2025?
Melker noted that Robinhood’s crypto growth is closely tied to market trends, asking whether this momentum will persist through 2025. Kerbrat acknowledged the uncertainty but pointed to a shift in user behavior as a strong indicator of sustained interest.
“It’s very hard to say. Like you said, it’s really depending on the market, the condition in the market, how people are seeing crypto and what are they doing with it,” he explained. “I think something that we see that is very interesting for us is that there’s a lot more interest in the DeFi space, and so we see a lot more usage of our Rabbit Wallet, for example. You see a lot of things going on-chain, and so I think that’s a good indicator that people are interested in crypto and they’re actually doing more with their crypto, not just holding on a platform.”
How are Robinhood users trading crypto?
When asked about customer behavior, Kerbrat noted that Robinhood caters to both first-time investors and more active traders.
“I think that’s the beauty of Robinhood — we have multiple segments of customers,” he said. “We have the people that are the first-time investor, and they just want to get their toes into Bitcoin or Ethereum. And for that, we actually have a very good platform because you can buy the spot crypto, or you can also buy one of the ETFs on your brokerage or your retirement account.”