Robinhood to offer spot Bitcoin ETFs following SEC approval
In response to the U.S. Securities and Exchange Commission’s (SEC) landmark decision to approve spot bitcoin ETFs, Robinhood CEO Vlad Tenev said the investment app will start offering these ETFs as soon as possible.
This move comes as the SEC approved 11 spot bitcoin ETFs, which are set to begin trading imminently.
“As a pioneer in offering spot crypto trading, Robinhood is thrilled about the SEC’s decision to approve spot Bitcoin ETFs,” Tenev said on the social media platform X.
Robinhood CEO highlighted the importance of the SEC’s decision, noting that it not only brings clarity to the market but also paves the way for more sophisticated financial tools. These tools are crucial for risk management and beneficial for customers managing their digital asset investments, he stated.
To support this new offering, Robinhood has prepared educational materials focused on bitcoin, ETFs, and risk management strategies to inform and protect its users. This educational initiative is part of Robinhood’s broader approach to ensuring that its customers are well-equipped to make informed investment decisions.
The approved ETFs come from a diverse group of providers, including Bitwise, Grayscale, Hashdex, BlackRock, Valkyrie, BZX, Invesco, VanEck, WisdomTree, Fidelity, and Franklin Templeton.
Last month, Robinhood reported a surge in cryptocurrency trading volumes, riding the wave of an ongoing rally in digital assets. The discount broker observed a 75% MoM rise in cryptocurrency trading volumes in November, marking a reversal from its previous trend. Interestingly, this boost contrasts with flat trading volumes in equity and options contracts during the same period.
The surge in crypto trading on Robinhood aligns with the overall rally in the cryptocurrency market last month, which led to a 50% surge in total market capitalization to $1.6 trillion over the past two months.
Meanwhile, the no-fee app has been expanding its offerings and exploring new markets. The company plans to launch in the UK in early 2024, marking its third attempt to enter the UK market, with features like the ability to trade 6,000 US stocks and 24-hour trading on weekdays. It also introduced 24-hour trading on select stocks and ETFs in the US earlier this year.