Bitstamp Surpasses Robinhood in Crypto Trading Volume After Acquisition

Less than three months after its acquisition by Robinhood, crypto exchange Bitstamp has outpaced its parent platform in crypto trading volumes. According to a report published by Robinhood on Thursday, Bitstamp recorded a 21% increase in August, reaching $14.4 billion in crypto trades. In contrast, Robinhood’s own nominal crypto volume fell 18% from July, totaling only $13.7 billion.

Robinhood completed its $200 million acquisition of Bitstamp on June 2, gaining over 5,000 institutional clients and 50,000 retail users. The merger was aimed at expanding Robinhood’s crypto offerings and strengthening its position in the tokenization space for real-world assets. 

Now operating under the name “Bitstamp by Robinhood,” the platform is integrated with Robinhood’s Smart Exchange Routing through Robinhood Legend, enabling seamless trading between the two platforms.

Bitstamp Still Faces Challenges

Despite Bitstamp’s growth, combined crypto trading volumes across both platforms declined by 2.1% from the previous month. Nevertheless, Robinhood’s total assets increased by 2% in August, reaching $304 billion, including approximately $41 million in crypto holdings. The broader crypto market mirrored this subdued activity, ending the month largely flat with minor fluctuations in volume.

Experts attribute Robinhood’s slowdown in trading partly to seasonal factors. Ryan McMillin, CEO of Australian crypto fund management firm Merkle Tree Capital, pointed to the summer holiday period as a possible cause, especially for a North American platform. He also noted that market sentiment has been “relatively quiet” amid uncertainty over potential rate cuts, as inflation and job data remain closely watched. 

Meanwhile, CK Zheng, founder of ZX Squared Capital, anticipates an uptick in trading volume toward the end of the year, driven by stronger institutional adoption and crypto-related investment products.

Strategic Expansions

Robinhood’s influence continues to grow. This week, the company made its debut on the S&P 500, marking another step toward mainstream recognition. Edwin Mata, CEO of tokenization platform Brickken, said this inclusion “expands the index’s exposure and connection to the digital asset economy.”

Further strengthening its ecosystem, Robinhood launched a tokenization-focused layer 2 blockchain for European users, granting access to US stocks and leveraged perpetual futures. These trades are routed through Bitstamp, underscoring the pivotal role the acquired exchange plays in Robinhood’s broader growth strategy.