Robinhood, the popular cryptocurrency trading platform, is reportedly considering the introduction of crypto futures trading in both the US and Europe. According to a Bloomberg report, the platform aims to roll out these services “in the coming months,” leveraging licenses acquired through its $200 million purchase of the Bitstamp crypto exchange.
Expanding Futures Trading
The acquisition of Bitstamp is expected to close next year, which would enable Robinhood to use the exchange’s licenses to offer perpetual futures for Bitcoin and other digital assets. This strategic move is part of Robinhood’s broader plans to expand its cryptocurrency offerings.
Plans and Potential Changes
While Robinhood has not yet publicly confirmed these plans, anonymous sources indicate that the company is interested in launching CME-based futures for Bitcoin (BTC) and Ethereum (ETH). Despite the ongoing discussions, a spokesperson told Bloomberg, “We have no imminent plans to launch these offerings.” They emphasized that the plans are still under discussion and could potentially change.
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Regulatory Challenges and International Expansion
Earlier this year, Robinhood received a Wells Notice from the Securities and Exchange Commission (SEC), signaling potential regulatory scrutiny. However, this has not deterred the company from its commitment to the crypto market. Robinhood is actively pursuing international expansion, with its crypto trading services already available in 50 US states, the Virgin Islands, and Puerto Rico.
In July, Robinhood’s platform officially allowed the trading of 15 assets, including Bitcoin, Ethereum, Dogecoin, and Avalanche, across all US territories. Despite this expansion, the firm reported a significant drop in crypto trading volume, from $10.1 billion in April to $7.1 billion.
Growing Demand for Crypto Futures
The interest in crypto futures has surged since the approval of spot Bitcoin ETFs in January. Crypto derivatives trading volumes reached $3.69 trillion, far surpassing centralized spot trading volumes of $1.57 trillion. This growing demand underscores the potential for Robinhood’s planned expansion into futures trading.
