Proceeding forward, Robinhood intends to establish a brokerage service in the United Kingdom while expanding its service in Europe.
Prominent trading software on Tuesday, November 7, Robinhood made public its intention to pursue an expansion into Europe within the following weeks. Furthermore, the company intends to establish its brokerage activities within the borders of the United Kingdom.
Robinhood’s Crypto Volumes Slide
The commission-free trading application reported a revenue shortfall in its third-quarter results on Tuesday, November 7. Lower cryptocurrency volumes on the platform, according to Robinhood, were the cause of a decline in transaction-based revenue.
In contrast to the average analyst forecast of $478.9 million, the organization disclosed net revenue of $467 million. In contrast, this number reflected a 29% surge in comparison to the corresponding period of the prior year.
The primary factor contributing to the 11% year-on-year decline in transaction-based revenues to $185 million was a 55% decrease in crypto notional volumes, according to a statement released by Robinhood on Tuesday. Tuesday, during after-market hours, the price of Robinhood stock (NASDAQ: HOOD) plummeted an astounding 8%.
Growing in the Cryptocurrency Industry
Despite the deceleration in its cryptocurrency trading volumes, Robinhood remains committed to furthering its presence in the crypto landscape.
Robinhood announced its intention to extend its range of services to include the state of Nevada last month. Furthermore, the company endorsed the memecoin Shiba Inu (SHIB).
Robinhood website specifies that the platform permits users to engage in cryptocurrency trading involving Bitcoin, Ethereum, Dogecoin, and Shiba Inu tokens, among others. The company, which catered primarily to small merchants, witnessed increased interest in cryptocurrency investments throughout the pandemic.
Nevertheless, this exuberance has been waning due to significant challenges. Robinhood declared its intention in June to remove three tokens—Solana, Cardano, and Polygon—from its cryptocurrency trading platform in response to a widely publicized regulatory crackdown on several of the largest exchanges in the cryptocurrency industry.
This occurred when the SEC of the United States was targeting altcoins with security tokens. Robinhood, as a regulated exchange, strives to maintain a harmonious relationship with the federal securities regulator.
