Robinhood has announced its agreement to acquire global crypto exchange Bitstamp for around $200 million in cash. The acquisition, pending regulatory approvals and standard closing conditions, is expected to be finalized in the first half of 2025. Barclays and Galaxy Digital Partners acted as exclusive financial advisors for Robinhood and Bitstamp, respectively.

Founded in 2011, Bitstamp operates in multiple regions, including Luxembourg, the UK, Slovenia, Singapore, and the US. With over 50 active licenses and registrations globally, this acquisition is seen as a way for Robinhood to quickly navigate regulatory challenges and expand its offerings. This move will significantly enhance Robinhood Crypto’s global presence, attracting customers from the EU, UK, US, and Asia.

Robinhood CEO Vlad Tenev mentioned to CNBC last month, after receiving a Wells Notice from the SEC, that the company struggled with US regulatory requirements. He stated, “We tried to create a special purpose broker-dealer for transacting in crypto assets… Unfortunately, a clear path forward with the SEC never emerged, and they did not reciprocate our efforts.”

The acquisition aims to strengthen Robinhood’s position in the crypto market and attract institutional clients with new product offerings. Bitstamp’s institutional services—including white-label solutions, institutional lending, and staking—will be integrated into Robinhood’s ecosystem, creating a comprehensive suite of crypto products. Bitstamp’s core spot exchange, featuring over 85 tradable assets, will also enhance Robinhood’s crypto offerings.

Johann Kerbrat, General Manager of Robinhood Crypto, stated that the acquisition is a strategic move to grow their crypto business, leveraging Bitstamp’s established reputation and market presence. JB Graftieaux, CEO of Bitstamp, emphasized that the integration will improve users’ trading experience while maintaining a strong commitment to compliance, security, and customer focus.

The acquisition is expected to introduce Robinhood’s first institutional business, utilizing Bitstamp’s platform and expertise. This strategic combination positions Robinhood to expand its reach beyond the US and attract institutional customers, promoting collaboration, innovation, and knowledge sharing across continents.