Robinhood Markets, Inc. is gearing up to acquire Bitstamp Ltd., a strategic move that is poised to bolster Robinhood’s cryptocurrency offerings and broaden its global presence. The acquisition, slated to be finalized in the first half of 2025, is aimed at integrating Bitstamp’s esteemed crypto exchange services into Robinhood’s platform, catering to retail and institutional clients in the EU, UK, US, and Asia.
Venturing Beyond Borders
This acquisition signifies Robinhood’s major expansion outside of the United States. Bitstamp, established in 2011, operates on a global scale with offices in Luxembourg, the UK, Slovenia, Singapore, and the US. With a portfolio of over 50 active licenses and registrations worldwide, Bitstamp will facilitate the swift global growth of Robinhood Crypto.
Introducing Institutional Services
In a groundbreaking move,
Robinhood
is delving into the institutional market for the first time, leveraging Bitstamp’s solid reputation for dependable trade execution, extensive order books, and top-notch API connectivity. Bitstamp’s array of institutional services, including its white label solution Bitstamp-as-a-service, institutional lending, and
staking
, will complement Robinhood’s existing offerings. This acquisition will seamlessly integrate Bitstamp’s primary spot exchange, which boasts over 85 tradable assets, further enriching Robinhood’s cryptocurrency portfolio.
Insights from Leadership
Johann Kerbrat, General Manager of Robinhood Crypto, highlighted the significance of this acquisition: “The acquisition of Bitstamp marks a significant milestone in the expansion of our cryptocurrency business. Bitstamp’s globally trusted and long-standing exchange has demonstrated resilience throughout market fluctuations. By merging customer experience with security across different regions, the Bitstamp team has earned a strong reputation among retail and institutional crypto investors.”
JB Graftieaux, CEO of Bitstamp, expressed his enthusiasm about the merger: “As the oldest cryptocurrency exchange in the world, Bitstamp is renowned as one of the most reliable and transparent crypto platforms internationally. Integrating Bitstamp’s platform and expertise into Robinhood’s ecosystem will offer users an enhanced trading experience with an unwavering commitment to compliance, security, and customer satisfaction.”
Collaboration and Innovation
The merger will bring together Bitstamp’s team with Robinhood, fostering collaboration and innovation across continents. Both Robinhood and Bitstamp customers can expect to maintain the same level of service, security, and dependability. Transparency will remain a core focus throughout the integration process.
Financial and Advisory Details
The final deal consideration for Robinhood is valued at approximately $200 million in cash, subject to customary purchase price adjustments. The acquisition is pending regulatory approvals and other standard closing conditions. Barclays Capital Inc. served as the exclusive financial advisor to Robinhood, while Galaxy Digital Partners LLC acted as the exclusive financial advisor to Bitstamp.
As Robinhood and Bitstamp gear up for this transformative acquisition, the cryptocurrency market eagerly anticipates the enhanced capabilities and extended reach that this merger is set to bring.