Bitstamp finally folds into Robinhood in $200M merger, unlocking global crypto passport

After a 12-month wait, the all-cash deal’s completion adds 50-plus licences, 4 cardinal customers, and an organization gross enactment to Robinhood’s arsenal.

Robinhood has closed its year-long, $200 cardinal takeover of Bitstamp, 1 of the world’s oldest crypto exchanges, catapulting the California fintech from a mostly U.S. subordinate into a regulator-blessed planetary heavyweight overnight.

“Bitstamp is present portion of Robinhood, adding a globally-scaled crypto speech and our first-ever organization crypto business,” main enforcement Vlad Tenev said arsenic the woody was declared implicit connected Tuesday.

“Bitstamp squad has established 1 of the strongest reputations crossed retail and organization crypto investors. Through this strategical combination, we are amended positioned to grow our footprint extracurricular of the US and invited organization customers to Robinhood.”
— JB Graftieaux, Bitstamp CEO

Why this matters

• Instant passporting – The acquisition drops much than 50 progressive licences crossed Europe, Asia, and the U.S. straight into Robinhood’s stack, approvals that would person taken years to triumph organically.
• Broader merchandise paper – Robinhood tin present connection 85+ listed coins, staking, and lending products, acold beyond the 15 tokens disposable successful its U.S. app.
• First organization foothold – Bitstamp’s white-label custody and “Bitstamp-as-a-Service” desks unfastened a higher-margin lawsuit conception for Robinhood astatine a clip erstwhile interest unit connected retail trading is intensifying.
• Regulatory clouds wide – The U.S. Securities and Exchange Commission closed a long-running probe into Robinhood Crypto successful February, removing the last roadblock to the merger.

Deal presumption & funding

Announced connected 6 June 2024, the transaction remained unchanged: $200 cardinal successful cash, nary banal component, taxable to customary closing adjustments. Robinhood tapped its balance-sheet warfare chest, bolstered by 5 consecutive profitable quarters, to wage out, signalling assurance successful the crypto upswing and successful its ain cash-generation engine.

Strategic calculus

1. Licence grab. Under Europe’s Markets-in-Crypto-Assets (MiCA) regime, determination approvals tin beryllium “passported” crossed the bloc; buying Bitstamp shortcuts years of paperwork instantly unlocks 27 EU countries.
2. Product expansion. Bitstamp lists 85+ assets and operates lending, staking, and white-label custody; Robinhood has hinted it volition “selectively” larboard these into its U.S. app erstwhile regulatory clarity improves.
3. Institutional revenues. Roughly a 4th of Bitstamp’s trading volumes travel from high-frequency market-makers and household offices, a new, stickier gross watercourse for Robinhood, which relies heavy connected retail order-flow payments astatine home.

“This concern brings a globally scaled crypto speech to Robinhood with customers crossed the EU, UK, US and Asia.

Importantly, this acquisition introduces Robinhood’s archetypal organization crypto business.”
— Johann Kerbrat, GM Robinhood Crypto

Competitive landscape

Coinbase has held an Irish e-money licence since 2019 and designated Dublin arsenic its MiCA hub successful precocious 2023. It’s preparing a azygous CASP application, allowing it to supply passport services crossed the EU.

Kraken has opted for licences implicit acquisitions. In September 2023, it besides secured an e-money licence successful Ireland and a virtual plus work supplier (VASP) registration successful the Netherlands successful aboriginal 2024, 2 of Europe’s astir progressive crypto markets. These authorisations springiness Kraken compliant fiat rails without needing to bargain infrastructure outright.

Binance remains connected the antiaircraft successful Europe. Belgium’s FSMA banned its services successful June 2023, citing a deficiency of authorised EU presence, and French prosecutors launched a ceremonial probe into alleged wealth laundering and aggravated fraud successful January 2025. The regulatory resistance has near a vacuum that Robinhood, with Bitstamp’s 50-plus progressive registrations, is present poised to exploit.

By penning a $200 cardinal cheque, Robinhood leapfrogs years of regulatory slog, plugging itself straight into Europe’s MiCA epoch and gaining a ready-made organization business.

The contention is to integrate smoothly and person some Bitstamp die-hards and Robinhood loyalists that a trans-Atlantic, one-stop crypto store tin present connected its promise.

The station Bitstamp yet folds into Robinhood successful $200M merger, unlocking planetary crypto passport appeared archetypal connected CryptoSlate.