Robinhood has no plans to establish a cryptocurrency-funded treasury, even though company execs believe it would align the firm more closely with the crypto community.
Summary
- Robinhood executives said the company is still evaluating whether holding crypto on its balance sheet would benefit shareholders.
- The firm’s Q3 revenue rose 97% year over year to $1.27 billion.
- Robinhood shares have surged over 260% year to date.
“What we always try to figure out is: Is it the right thing for shareholders as well?” Robinhood’s finance and strategy vice president Shiv Verma told shareholders during the company’s Q3 earnings call on Nov. 5, adding that the company has “spent a lot of time thinking about this.”
Verma’s comments came in response to inquiries about whether Robinhood, which has been steadily expanding its crypto operations, has any plans to hold Bitcoin or other digital assets on its balance sheet.
Crypto treasury companies have emerged in noticeable numbers within a short span of time, and the list has continued to grow as firms race to replicate the success of pioneers like Strategy. Billions of dollars have flowed into the sector, helping push valuations of these firms to record highs as investors chase exposure to crypto-linked equities.
Yet many industry observers and analysts have warned about the risks of the crypto treasury boom, drawing parallels to previous market bubbles, while regulators in markets such as Hong Kong, Australia, and India have voiced similar concerns and made attempts to limit the trend.
Robinhood, as one of the most prominent publicly listed crypto brokers, is a natural candidate for such a move, according to many investors, but company insiders remain uncertain whether such a step would represent the best use of capital.
“Is it the best use of our capital?” Verma questioned, expressing doubt over whether diverting funds into crypto holdings would make sense given the company’s current focus on core initiatives.
“There’s a lot of different things you’re doing, from new products, for growth, [and] investing in engineering.”
According to Verma, since shareholders can already “go and buy Bitcoin directly on Robinhood,” it’s worth asking whether the company should be “making that decision for them” at all.
“I think the short answer is we’re still thinking about it,” Verma said, though he acknowledged the firm would continue “actively looking at” the idea as part of its strategic discussions.
Robinhood’s reluctance to commit to a crypto treasury strategy comes as the company’s balance sheet has been backed by strong quarterly performances throughout 2025.
The company’s latest earnings report managed to exceed Wall Street expectations by posting a year-over-year revenue jump of nearly 97% to $1.27 billion, up from $646 million a year ago, momentum that may partly explain why Robinhood sees no pressing need to chase the crypto treasury trend to sustain investor interest.
According to Google Finance data, the company’s shares have gained over 260% so far this year, hitting an all-time high of $152.46 last month.
Robinhood’s core business is focused on retail trading and financial services, but over the years, it has expanded aggressively into crypto products, including staking, perpetual futures, and tokenized stocks, and is currently working on scaling its recently launched prediction markets.
Source link