Robinhood counts 24 million users as crypto trading soars

abdelaziz Fathi

Robinhood Markets has turned a corner with its second consecutive quarterly profit, topping Wall Street estimates with a boost from higher interest rates and vibrant cryptocurrency trading.

The discount broker announced a net income of $157 million, or 18 cents per share, far surpassing the 6 cents forecast by analysts surveyed by Bloomberg and marking a strong recovery from last year’s $511 million loss.

In after-hours trading, Robinhood’s shares climbed more than 5% as investors responded warmly to the robust first-quarter results. This performance is a sharp reversal from the same period last year when the brokerage reported a loss of 57 cents per share.

Robinhood’s total revenue for the quarter was $618 million, which also exceeded Wall Street’s expectations of $549 million. The results reflect record highs for both earnings per share and revenue, indicating strong operational momentum.

During the pandemic, Robinhood saw a surge in trading volumes as more individuals took to trading stocks and cryptocurrencies from home. The recent uplift in market activities, particularly in stocks and cryptocurrencies, likely played a major role in fueling Robinhood’s turnover this quarter.

However, it’s not all smooth sailing; Robinhood faces regulatory challenges ahead. The brokerage received a Wells Notice from the U.S. Securities and Exchange Commission. The notice, which popped up on May 4, doesn’t mean Robinhood did anything wrong, but it shows the SEC might be gearing up to take action.

However, Robinhood’s chief legal officer defended the company’s stance in a blog post, asserting that the crypto assets offered are not securities.

The trading platform also reported growth in its user base, with the number of funded accounts climbing by 810,000 year-over-year to 23.9 million. Additionally, Robinhood’s assets under management have surged by 65% from the previous year to $129.6 billion.

This financial turnaround precedes an almost 40% rise in Robinhood’s stock year-to-date, a bullish signal from investors who are optimistic about the company’s trajectory amid fluctuating market conditions and regulatory scrutiny.

Read this next


BlockDAG’s Revolutionary Dev Release 36: Off-Chain PoW and a $30 Projection by 2030

Explore BlockDAG’s latest off-chain PoW innovation and its $32M presale success. Projected to reach $30 by 2030.


30,000x ROI Potential: BlockDAG Secures $33.5M in Presale, Outruns Retik Finance’s Bitmart Performance

Uncover how BlockDAG’s impressive $33.5M presale and its innovative platform draw investors away from Retik Finance following the Bitmart listing.


IT Professional Switches to Lucrative Crypto Mining Entrepreneur with BlockDAG’s Advanced Mining Technology

Learn how an IT pro turned Litecoin mining into a fortune. See if BlockDAG can match this with advanced mining tech and 30,000X ROI potential.


May 2024 Crypto Spotlight: Why Whales Are Choosing BlockDAG Over Retik Finance, Will CoinW & P2B Listing Save $RETIK?

Uncover why BlockDAG is winning over smart investors in May 2024, and surpassing Retik Finance’s performance on exchanges like CoinW and P2B.


Ethereum Leads Altcoins Toward a Huge Rally: Expert Top Picks for Altseson Unveiled

A fresh surge in alternative cryptocurrencies is building momentum as Ethereum leads the charge.


BEVM Unveils Groundbreaking Taproot Consensus for Decentralized Bitcoin Layer 2 Solution

On May 20, 2024, the Bitcoin Layer2 development team BEVM released the technical yellow paper titled “Taproot Consensus: A Decentralized BTC Layer2 Solution.”


AI Cryptos to Pump Hard After NVIDIA’s Q1 Earnings 📊

The recent earnings from a tech giant have hinted at a significant upswing for AI-focused cryptocurrencies.

Retail FX

Weekly Roundup: Republican to end Fed, Bankman-Fried moves to California

Let’s take a look back at top stories that dominated the financial markets in our Weekly Round coverage. This week’s digest takes a deep dive into the most recent events and trends within the Forex, Fintech, and cryptocurrency.


BlockDAG’s $32.8M Presale Outshines Retik Finance’s MEXC Listing, Featuring Cutting-Edge Dashboard Innovations

Explore how BlockDAG’s innovations overshadow Retik Finance’s MEXC debut, attracting investors to its vibrant platform for unparalleled gains.