Bitstamp exchange bought by Robinhood to expand outside US

The global crypto exchange Bitstam is set to be bought up by the large American broker Robinhood, as announced by the company in an official announcement. The acquisition will most likely be finalised in 2025 and will be the first large acquisition by the big stock broker and is an important strategic move by Robinhood to improve its presence outside of the United States. 

The acquisition will most likely cost the American broker around $200 million in cash and is expected to be finalised in the first half of next year. Bitstamp has grown into a global cryptocurrency exchange which was founded in 2011. Since then the company has expanded its office globally in the United Kingdom, Luxembourg, Slovenia, Singapore and also in the United States. Robinhood is one of the biggest brokers in Amerika with around 13,7 million active users and over $130 billion in assets under management. Robinhood also trades on the stock market and has risen with over 7% in value in the last 24 hours, possibly in relation to the press announcement of the acquisition of the crypto exchange. 

Robinhood accelerating global expansion

Robinhood intends to use the acquisition to accelerate its expansion globally. At the moment the trading platform is only accessible in the United States, but by buying Bitstamp the company gets access to crypto services in Europe and Asia. The Crypto General Manager of Robinhood sees the acquisition as an important strategic move for the future of Robinhood, as he stated in the official announcement:

“The acquisition of Bitstamp is a major step in growing our crypto business. Bitstamp’s highly trusted and long standing global exchange has shown resilience through market cycles. By seamlessly coupling customer experience with safety across geographies, the Bitstamp team has established one of the strongest reputations across retail and institutional crypto investors. Through this strategic combination, we are better positioned to expand our footprint outside of the US and welcome institutional customers to Robinhood.”

Bitstamp CEO excited for acquisition

At the same time the CEO of Bitstamp, JB Graftieaux, is excited for the acquisition. Bringing the two companies together will help improve growth and enhance the customer experience, as he stated in the press release: 

“As the world’s longest running cryptocurrency exchange, Bitstamp is known as one of the most-trusted and transparent crypto platforms worldwide. Bringing Bitstamp’s platform and expertise into Robinhood’s ecosystem will give users an enhanced trading experience with a continuing commitment to compliance, security, and customer-centricity.”


Posted

in

,

by

Tags:

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *