Buying and selling platform Robinhood has revealed its intentions to develop into Europe within the coming weeks. The corporate is exploring establishing brokerage operations in the UK. It made this choice recognized on Tuesday, Nov 7.
The commission-free buying and selling app made this announcement because it revealed its third-quarter outcomes, indicating a income miss. Robinhood attributed the decline in its transaction-based income to lowered cryptocurrency buying and selling volumes on the platform.
The agency reported a internet income of $467 million, barely beneath the common analyst estimate of $478.9 million. Nonetheless, this marked a 29% development in comparison with the identical interval final 12 months. Transaction-based revenues declined by 11% year-on-year to $185 million, largely as a consequence of a 55% lower in cryptocurrency notional volumes over the 12 months, as acknowledged in Robinhood’s Tuesday announcement.
Regardless of the lower in cryptocurrency buying and selling exercise, Robinhood has formidable plans for its crypto companies. The corporate just lately revealed its intentions to develop its companies to Nevada and added assist for the meme cryptocurrency Shiba Inu (SHIB) final month.
Cointelegraph reached out for extra data concerning the growth to the EU however is but to listen to again from Robinhood.
The transfer comes as some crypto corporations have suspended serving U.Ok. prospects due to new promotions guidelines that require crypto corporations to provide clear risk labels and implement system changes that got here into impact on Oct. 8.
Again in June, Robinhood ceased support for cryptocurrencies listed in SEC lawsuits in opposition to Binance and Coinbase, together with Cardano (ADA), Polygon (MATIC), and Solana (SOL). Presently, Robinhood facilitates buying and selling for 15 varied cryptocurrencies, corresponding to Bitcoin (BTC), Ether (ETH), Dogecoin (DOGE), and Avalanche (AVAX).
This occurred when the U.S. SEC focused different cryptocurrencies, labeling them as safety tokens. As a regulated change, Robinhood seeks to forestall clashes with the federal securities regulatory authority.