Robinhood is set to launch commission-free crypto trading in the European Union (EU), marking its second international foray within a week.
Following the recent debut of its stock-broking services in the UK, the popular trading app is now set to enable European investors to seamlessly buy and sell over 25 cryptocurrencies. These include notable cryptocurrencies like Bitcoin, Ethereum, and Solana.
- Robinhood’s commission-free crypto trading in the EU commences on Thursday.
- The platform will provide access to more than 25 cryptocurrencies, aiming to tap into the diverse preferences of European investors.
- A unique cashback-like loyalty program will be introduced, offering users a percentage of their monthly trading volume in Bitcoin.
Robinhood’s launch coincides with crypto market’s recovery
Robinhood Crypto’s general manager, Johann Kerbrat, shared insights in an interview. Additionally, Kerbrat highlighted the company’s commitment to the European market and shed light on its revenue model.
The launch coincides with a broader resurgence in crypto prices. The surge has been fueled by speculation around potential US interest-rate adjustments and expectations of the first Bitcoin ETF next month.
Robinhood plans to generate revenue through rebates from market makers and trading venues, with a rebate of approximately 65 basis points per trade in Europe.
While crypto prices have experienced growth in 2023, overall trading volumes have not mirrored the surge witnessed during the pandemic. Robinhood’s third-quarter revenue saw a decline. The decline is primarily attributed to a significant drop in crypto trading volumes compared to the previous year.
European customers will soon witness additional features. These include the ability to transfer crypto holdings outside of the Robinhood app, slated for introduction in 2024.
The company plans to expand its token offerings and introduce staking services in the EU. In addition, to align with the EU’s new Markets in Cryptoassets (MiCA) regime, set to be enforced in early 2025, the company aims to secure full authorization as a crypto service provider in at least one EU member state.