Robinhood to Buy Crypto Exchange Bitstamp for $200M

Robinhood

Robinhood Crypto wants to expand its crypto operations and plans to buy Bitstamp for $200 million.

Robinhood, a renowned stock trading platform, is expanding its crypto trading capacity and making a substantial financial commitment. The company plans to invest $200 million in acquiring the Bitstamp exchange, a move that will satisfy customer demands for broader crypto offerings.    

Robinhood to Acquire Bitstamp

Despite the recent Wells notice from the U.S. Securities and Exchange Commission (SEC), Robinhood Crypto stands on increasing its crypto operations. 

In a press release on Thursday, Robinhood Crypto revealed its plan to expand internationally by acquiring the U.K.-based crypto exchange Bitstamp. The company started operations in the U.K. last December and has made significant progress since introducing cryptocurrency trading services. 

Bitstamp crypto exchange has been functional since 2011 and is one of the biggest exchanges in Europe. It holds more than 50 licenses internationally and claims to be one of the most regulated exchanges in the European financial market. 

Johann Kerbrat, vice president and general manager of Robinhood Crypto, said, “we are in our early days in the EU, and we are excited to keep expanding there and beyond. The acquisition of Bitstamp will accelerate our global expansion.”

Kerbrat explained that the move responds to customers’ demand for more remarkable and extensive crypto services. Therefore, integrating Bitstamp grants the company access to a broader range of crypto services. 

Vlad Tenev, CEO of Robinhood, revealed in a post on X (formerly Twitter) that after the deal with Bitstamp is sealed, Robinhood will offer industry-leading services, including lending and borrowing. He adds, “We believe crypto will fundamentally reorganize the financial system, and we’re acquiring Bitstamp to accelerate our vision.”

BitStamp CEO Expresses Confidence in the Deal

Jean-Baptiste Graftieaux, CEO of Bitstamp, is optimistic about the deal. The company’s leadership team will be retained to work alongside Robinhood Crypto to boost its crypto services and restore Bitstamp to its original position as a very popular and reliable crypto exchange. 

Graftieaux explains that the business deal between Bitstamp and Robinhood, which will be finalized by the first half of 2025, will offer customers a great crypto experience as the team promises to enhance its commitment and security.