In the U.S. fintech scene, two companies are staging a spectacular 'Tale of Two Cities'. Robinhood and Coinbase, both hovering around a market cap of $80 billion, rank 14th and 20th in the financial category of the App Store. They target the same group of young investors, yet they run like parallel lines — one turns finance into a 'foolproof camera', while the other transforms blockchain into a 'financial operating system'.
This contest is not about who wins or loses, but rather the struggle between two futures: do people want 'invisible finance' or 'tangible crypto'?
Two beliefs: Simplicity first VS Reconstruction of everything
Walking into Robinhood's world, you'll see big buttons and a minimalist interface. Its logic is straightforward: 'Finance is too complicated, let me help you break it down and rebuild it.' With 15 types of cryptocurrencies and zero-commission trading, even if you can't tell stocks from bonds, you can easily buy Tesla. Just like drinking cola without knowing the recipe, investing here doesn't require understanding candlestick charts to place an order.
Coinbase resembles an 'all-in-one toolbox' for the crypto world. It lists over 260 types of cryptocurrencies, charging more than three times what Robinhood does, yet it still attracts crowds. CEO Brian Armstrong's ambition is written on his face: 'Five to ten years from now, money market funds, real estate, and stocks will all be on-chain, and we want to be the infrastructure for this revolution.' When PayPal launches stablecoins and JPMorgan engages in crypto payments, Coinbase is the one standing behind it.
These two companies, which went public around 2021, have opened two windows to the financial market: one allows newcomers to easily get on board, while the other takes players deep into the crypto territory.
Product covert war: Who is pleasing whom?
Robinhood's recent moves appear to be a combination of punches. In June, it launched its own Layer2 network 'Robinhood Chain', allowing European users to trade tokenized U.S. stocks 24 hours a day — even at 3 AM, they can buy Tesla. It also spent $200 million to acquire the established European exchange Bitstamp, aiming to bring perpetual crypto futures to the platform.
All these operations point toward one goal: making cryptocurrency 'grow' like stocks. Buying Bitcoin here incurs a fee of only 0.4%, costing $4 for a $1,000 transaction. But the downside is that what you buy resembles more of a 'Bitcoin IOU' — you can't transfer it to your own wallet, let alone use it for DeFi mining.
Coinbase, on the other hand, is doing the opposite: allowing traditional finance to 'grow' on the blockchain. It manages $245.7 billion in crypto assets for institutions, and 80% of Bitcoin ETFs in the U.S. hold assets here. Recently, it opened 10x leverage perpetual futures to retail investors and integrated a decentralized exchange directly into its app. Here, you can transfer Bitcoin to your wallet, stake ETH for interest, and truly 'own' cryptocurrency.
Interestingly, users seem to get what they need: among Robinhood's 26.5 million users, half are millennials and a quarter are Gen Z, who start investing here at an average age of 19; Coinbase attracts those 'crypto natives' who are still researching Layer2 Gas fees at dawn.
The secret in the financial report: Who is making money from whom?
The financial report for the second quarter this year is like a mirror, reflecting the warmth and coldness of two different models.
Robinhood's crypto revenue surged by 98%, with total revenue reaching $989 million. Of its $279 billion in managed assets, 15% of new additions came from competitors' users. Monthly subscriptions for 'Robinhood Gold' skyrocketed to 2 million, with users using it to save money, pay credit cards, and plan for retirement — it's like moving an entire wallet into this app.
Coinbase's situation is somewhat more subdued, with total revenue at $1.5 billion, and trading revenue dropping by 39%. However, upon closer examination, its institutional business is exploding: USDC stablecoin revenue is $332 million, and Prime financing balances are at record highs, allowing it to profit solely from custody. Those who criticize it for 'high fees' might not have noticed that its costs are actually decreasing; after excluding one-time expenses, its net profit is still $33 million.
This resembles two different restaurants: Robinhood is a bustling fast-food joint with a high table turnover; Coinbase is a high-end private kitchen with a high average check.
The ultimate gamble: Intergenerational inheritance VS Infrastructure
Robinhood is playing a big game — capturing an entire generation. Just like Disney captures children with cartoons and then makes them repay with lifelong consumption, Robinhood's users average entering at 20 years old. By the time they inherit the $84-124 trillion wealth of the baby boomers, their habits will be deeply ingrained. Its recent launch of tokenized stocks in Europe is paving the way for this 'wealth transfer'.
Coinbase is building a 'highway'. Its Base chain can handle 54,000 token issuances in a day, outpacing Solana; its custody system is adopted by giants like BlackRock and Fidelity. While traditional financial institutions hesitate to embrace crypto, Coinbase has already built the toll booths.
As it stands now, Robinhood's stock price has increased by 135% this year, while Coinbase has only risen by 30%. But this is far from the end — just as food delivery apps and supermarkets won't replace each other, some people want the convenience of ordering in 3 minutes, while others prefer the satisfaction of personally selecting their items.
Final thoughts
When Robinhood users buy $100 worth of Bitcoin while scrolling through short videos, and Coinbase users research how to earn passive income by staking ETH, they are actually voting for their future.
In one future, finance is as invisible as electricity and water; you don't need to worry about how money flows, just spend it; in another future, cryptocurrency is as tangible as cash, and you can control the direction of every penny.
This is not a war, but a symbiosis. Just as there are instant coffee and hand-brewed coffee, the future of finance should have two appearances.
Disclaimer: The content of this article is for reference only and does not constitute any investment advice. Investors should rationally consider cryptocurrency investments based on their own risk tolerance and investment goals, and should not blindly follow the trend.
