Robinhood's profits double, Crypto revenue grows 98%, accelerating tokenization strategy and global expansion

Robinhood (HOOD) announced its second-quarter earnings report, with cryptocurrency trading revenue increasing 98% year-over-year to $160 million. The cryptocurrency trading volume was $28 billion, a 32% year-over-year increase.

Despite being lower than the first quarter's $46 billion trading volume and $252 million in crypto revenue, the company is still accelerating its long-term crypto strategy, including:

Acquisition of Canadian WonderFi for $179 million.

Completion of a $200 million acquisition of cryptocurrency exchange Bitstamp, which recorded $7 billion in trading volume post-acquisition.

Launching stock tokenization and crypto perpetual contract trading in the European Union.

Opening Ethereum and Solana staking services in the United States.

Developing a Layer 2 blockchain based on Arbitrum.

CEO Vlad Tenev stated that the launch of tokenization is "the biggest innovation in the industry in the last decade."

The diluted earnings per share for the second quarter was $0.42, doubling from the same period last year. Total revenue grew 45% to $989 million, exceeding market expectations. HOOD's stock price rose 2.7%, closing at $106.10, with the company's market value reaching $90 billion.