Buying and selling platform Robinhood has revealed its intentions to develop into Europe within the coming weeks. The corporate is exploring establishing brokerage operations in the UK. It made this resolution identified on Tuesday, Nov 7.
The commission-free buying and selling app made this announcement because it revealed its third-quarter outcomes, indicating a revenue miss. Robinhood attributed the decline in its transaction-based revenue to decreased cryptocurrency buying and selling volumes on the platform.
The agency reported a web revenue of $467 million, barely under the common analyst estimate of $478.9 million. Nonetheless, this marked 29% progress in comparison with the identical interval final yr. Transaction-based revenues declined by 11% year-on-year to $185 million, largely because of a 55% lower in cryptocurrency notional volumes over the yr, as acknowledged in Robinhood’s Tuesday announcement.
Regardless of the lower in cryptocurrency buying and selling exercise, Robinhood has formidable plans for its crypto companies. The corporate just lately revealed its intentions to develop its companies to Nevada and added assist for the meme cryptocurrency Shiba Inu (SHIB) final month.
Cointelegraph reached out for extra data concerning the expansion to the European Union however has but to listen to again from Robinhood.
The transfer comes as some crypto companies have suspended serving U.Okay. prospects due to new promotion guidelines that require crypto companies to provide clear risk labels and implement system changes that got here into impact on Oct. 8.
Associated: Robinhood bought back Sam Bankman-Fried’s stake from US gov’t for $606M
Again in June, Robinhood ceased support for cryptocurrencies listed in United States Securities and Change Fee lawsuits in opposition to Binance and Coinbase, together with Cardano (ADA), Polygon (MATIC) and Solana (SOL). Presently, Robinhood facilitates buying and selling for 15 numerous cryptocurrencies, corresponding to Bitcoin (BTC), Ether (ETH), Dogecoin (DOGE) and Avalanche (AVAX).
This occurred when the U.S. SEC focused various cryptocurrencies, labeling them as safety tokens. As a regulated change, Robinhood seeks to forestall clashes with the federal securities regulatory authority.
