HomeCryptocurrenciesRobinhood Acquires Crypto Exchange Bitstamp in $200 Million Deal

Robinhood Acquires Crypto Exchange Bitstamp in $200 Million Deal

Trading platform Robinhood expanded its venture into digital assets on Thursday, reaching a deal to acquire crypto exchange Bitstamp. The agreement is worth around $200 million in cash.

The acquisition comes in the wake of the Securities and Exchange Commission’s (SEC) intention to sue Robinhood. The SEC previously presented Robinhood with a Wells notice, which serves as formal notification that the company is subject to an investigation.

Bitstamp, which was founded in 2011, is a crypto exchange that does most of its business in Europe and Asia. It currently offers around 85 tradable assets, according to Reuters.

By acquiring Bitstamp, Robinhood hopes to extend its global reach as well as propel the growth of its digital assets business. The deal is expected to be completed at some point in 2025.

“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,” Robinhood Crypto’s vice president and general manager Johann Kerbrat said in a chat with Reuters.

Robinhood’s stock has saw an uptick of 3.15% in premarket trading after announcing Bitstamp acquisition. The company’s shares have been 74.37% up year-to-date based on their latest close price of $21.57 per share.

Adobe’s Stock Surges More Than 14% Percent On the Back of Record Revenue

Software company Adobe shared its report for the second quarter, which showed record revenue and earnings results that beat the expectations of analysts. The...

Cruise Stocks Drop Amid Worries About Their Pricing Power

Cruise companies Carnival, Norwegian Cruise, and Royal Caribbean all saw their stock take a significant dip on Friday after analysts expressed concerns about their...

U.S. Home Sales Approach Lowest Level in a Decade Amid All-Time High Prices

Prospective homebuyers in the United States continue to remain on the sidelines amid all-time high prices. Real estate brokerage Redfin recently released a report...