Posted by Xoken.org – Robinhood Markets Inc.’s crypto trading platform. announced a revenue increase of up to 40% in the first quarter of 2024, marking two consecutive quarters of profit.
According to news.bitcoin.com, written on Saturday (11/5/2024), this increase in revenue was mainly driven by higher interest rates and strong cryptocurrency trading activity. Robinhood’s total net income has now reached USD 618 million or the equivalent of IDR 9.9 trillion.
The platform’s transaction-based revenue rose 59% to USD 329 million (Rp. 5.2 trillion), largely due to a 232% jump in cryptocurrency revenue for a total of USD 126 million (Rp. 2 trillion), a 16% increase in options revenue. % to USD 154 million (Rp. 2.4 trillion), and equity income growth of 44% to USD 39 million (Rp. 626.1 billion).
In addition, Robinhood’s Assets Under Custody (AUC) grew by 65% from the previous year to USD 129.6 billion (Rp. 2 quadrillion).
The increase was driven by higher valuations in equities and cryptocurrencies, as well as continued net deposits. Notional Crypto Trading Volumes also increased, showing a 224% increase year-on-year to USD 36.0 billion (Rp. 578.3 trillion).
“We delivered significant revenue growth and margin improvement. We set record quarterly revenue, net income and earnings per share, even as we increased our marketing and growth investments,” Robinhood Markets chief financial officer Jason Warnick told Bloomberg.
Earlier this week, Robinhood revealed that it had received Wells’ notice from the SEC. This notice indicates that the regulator plans to initiate enforcement action against the company regarding its crypto operations.
The SEC, under Chairman Gary Gensler, said that most tokens are securities, therefore platforms offering them must register with the agency.