Robinhood Crypto Revenue Falls 38% Despite Growth in Other Businesses
Key Facts
Robinhood's cryptocurrency transaction revenue fell 38% year on year to $100 million in the second quarter of 2026, according to results announced by the company on July 29. The decline coincided with a 32% rise in total revenue to a record $1.31 billion as other trading businesses grew. Stock transaction revenue reached $129 million, up 95% from the same period a year earlier, according to the earnings statement. Options transaction revenue rose 29% year on year to $342 million during the quarter. Event contracts also generated $156 million in revenue, exceeding cryptocurrency transaction revenue. The company's performance thus combined a decline in cryptocurrency activity with growth in other revenue sources, led by stock and options transactions.
Cryptocurrency transaction revenue declined from the previous quarter for three consecutive quarters, according to the accompanying earnings presentation. Revenue stood at $268 million in the third quarter of 2025, then fell to $221 million in the fourth quarter of the same year. It dropped again to $134 million in the first quarter of 2026 before reaching its latest level in the second quarter. On the Robinhood app, cryptocurrency trading notional volume fell 35% year on year to $18 billion. Total trading notional volume, including the Bitstamp platform, rose 15% from the same period a year earlier, according to the company's presentation. However, it fell 39% from the previous quarter, leaving the broader total with annual growth and a quarterly decline.
On profitability, the company said during its earnings call that adjusted earnings before interest, taxes, depreciation and amortization reached $741 million, up 35% year on year. It added that the adjusted earnings margin was 57% in the second quarter. Earnings per share reached $0.62, up 48% from the same period a year earlier, according to the call. Adjusted earnings per share stood at 48 cents, compared with analysts' average forecast of 44 cents, Reuters reported, citing London Stock Exchange Group data. Net interest revenue also rose 9% year on year to $389 million, according to the company's statement. Despite adjusted earnings per share beating analysts' expectations, Robinhood shares fell 0.8% in extended trading on the evening of the results announcement, according to Reuters.
Robinhood Gold subscribers numbered about 4.84 million at the end of the second quarter, according to the earnings presentation. That represented an increase of 39% from the same period a year earlier, alongside net deposits of $21.7 billion during the quarter. In a subsequent development in its cryptocurrency business, the company announced that trading notional volume reached $17.5 billion in August 2026. That activity rose 61% from July, according to the company's monthly operating data statement. However, it remained 38% below its level a year earlier, with August's monthly increase coinciding with a continued year-on-year decline.
The decline in cryptocurrency revenue coincided with the company's expansion beyond its existing markets in digital asset services. On June 1, 2026, Robinhood announced the completion of its acquisition of Canada's WonderFi, which specializes in digital asset products and services. During the second-quarter earnings call, Vlad Tenev said the company had received approval in Singapore. He added: "We are working hard to make everything we can available," within what the Monetary Authority of Singapore permits. Robinhood is scheduled to announce its third-quarter 2026 results on October 27, 2026, after the market closes, according to its announcement to investors.