Robinhood Markets entered into an agreement to buy Bitstamp, a global cryptocurrency exchange. Bitstamp was launched in 2011 and has offices in Luxembourg, the UK, Slovenia, Singapore, and the US.
Buying a global exchange will significantly accelerate Robinhood Crypto’s expansion worldwide. Bitstamp holds over 50 active licenses and registrations globally and will bring in customers across the EU, UK, US, and Asia to Robinhood.
This deal will introduce Robinhood’s first institutional business. And Bitstamp has been trusted by its institutional clients for reliable trade execution, deep order books and industry-leading API connectivity.
Through Bitstamp’s other institutional offerings like white label solution Bitstamp-as-a-service, institutional lending, and staking, Robinhood will enter the space with active and established relationships, infrastructure and industry-leading products. Bitstamp’s core spot exchange, with over 85 tradable assets, and products like staking and lending, will enhance Robinhood’s Crypto offering.
Robinhood expects the final deal consideration to be about $200 million in cash, subject to customary purchase price adjustments. And the acquisition is subject to customary closing conditions, including regulatory approvals, and is expected to close in the first half of 2025.
Barclays Capital served as the exclusive financial advisor to Robinhood. Galaxy Digital Partners LLC served as the exclusive financial advisor to Bitstamp.
KEY QUOTES:
“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.”
- Johann Kerbrat, General Manager of Robinhood Crypto
“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.”
- JB Graftieaux, CEO of Bitstamp
