Robinhood, a prominent cryptocurrency trading app, has officially announced its plans to acquire Bitstamp, a leading exchange based in Europe, for approximately $200 million. This confirmation was made in a press release today, highlighting the agreement reached between the two companies.
In this deal, Robinhood will pay nearly $200 million in cash for the acquisition, with the expected completion date set for the first half of 2025 pending regulatory approval. This acquisition will position Robinhood to compete with top cryptocurrency exchanges like Coinbase and Binance. Bitstamp, established in 2011, currently operates in various countries including Luxembourg, Slovenia, the U.K., the U.S., and Singapore.
Aside from its physical presence in these regions, Bitstamp holds more than 50 active licenses allowing it to operate globally. With this acquisition, Robinhood aims to accelerate its global expansion plans, particularly in Europe and Asia.
Furthermore, Robinhood plans to offer its products to institutional clients through this deal. These clients have relied on Bitstamp for efficient trade execution, top-tier API connectivity, and extensive order books. By acquiring Bitstamp, Robinhood intends to enhance its relationships and offer cutting-edge products, including institutional lending and staking services.
CEO and founder of Robinhood, Vlad Tenev, expressed his belief in the transformative potential of cryptocurrency in reshaping the global financial system. He stated that acquiring Bitstamp will further Robinhood’s vision of integrating cryptocurrency into mainstream finance.
Despite this positive development, Robinhood is currently facing regulatory scrutiny in the U.S. After receiving a Wells Notice from the SEC last month, indicating a potential enforcement action, the company’s conservative approach to listing tokens has raised some questions. Unlike other U.S.-based exchanges offering a wide range of cryptocurrencies, Robinhood only lists a limited selection of coins. However, through the acquisition of Bitstamp, Robinhood will gain access to over 80 tradable assets and a variety of products.
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