Robinhood Q1 Crypto Transaction Revenue Down 47%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 29 2026
0mins
Robinhood's weak crypto quarter is colliding with a louder pro‑bitcoin message from Washington, leaving traders to decide whether U.S. exchanges are in a temporary lull or the early stages of a policy driven pivot. At the same time, Visa's stablecoin buildout, fresh bitcoin treasury disclosures, and new mining and AI infrastructure deals are shifting how listed companies earn, hold, and service digital assets around the core bitcoin(BTC-USD)and ether(ETH-USD)trade. Stay up on the crypto news that matters with "Crypto Currents," daily from The Fly. Join us at 2 PM ET for your essential briefing on the fast-moving world of cryptocurrency on FlyCast radio.ROBINHOOD CRYPTO HIT:Robinhood(HOOD)reported Q1 crypto transaction revenue of $134M, down 47% vs. last year, helping pull total revenue to about $1.07B, compared to the roughly $1.14B expected. The stock fell around 10% in early trading as investors reassessed how much of Robinhood's earnings power still rides on episodic crypto volatility rather than steadier brokerage lines.WHITE HOUSE CLARITY PUSH:White House crypto adviser Patrick Witt told the Bitcoin 2026 conference that digital assets will "take off like a rocket ship" once the CLARITY Act passes and hinted at a "big announcement" on a Strategic Bitcoin Reserve, according toBSC News in a post made to X..VISA STABLECOIN BUILD:Visa(V)said in a company press release that it has expanded its stablecoin settlement pilot to nine blockchains, adding Arc, Base, Canton, Polygon, and Tempo and citing a $7B annualized settlement run rate, up 50% quarter over quarter. The release highlights Base, Coinbase's layer two network, as one of the additions, underscoring how incumbent card networks are leaning on exchange infrastructure as they push tokenized settlement into mainstream flows.BITCOIN TREASURY MOVES:Next Technology Holding(NXTT)disclosed that it holds 5,833 bitcoin as part of a combined bitcoin treasury and AI software model. GD Culture Group(GDC)filed a prospectus supplement describing a 7,500 bitcoin reserve and board approval to sell tokens to help fund a $100M share repurchase program, effectively turning part of its digital asset stack into a buyback war chest.iPower(IPW)confirmed that collateral exceeds the roughly $3.69M balance on its convertible note and detailed an active bitcoin and ether treasury strategy with BitGo(BTGO)custody. Forum Markets(FRMM), formerly ETHZilla, repurchased and cancelled about 5.65M shares at an average price near $4.26, spending roughly $24.1M and cutting shares outstanding to around 14.65M as of April 28.MINER TO AI PIVOT:Z Squared(ZSQR)signed a binding letter of intent to acquire three North Carolina sites from Skycore Digital totaling 24 megawatts of energized capacity with a path to 42 megawatts, in an all stock deal with up to 22M of Series B preferred consideration and no cash. Separately, Riot Platforms(RIOT)disclosed in a regulatory filing, that it converted a $200M variable rate secured term loan from Coinbase Credit to a fixed rate and extended maturity by 364 days with an additional one year option, while keeping bitcoin, USD coin, and cash collateral at Coinbase Custody unchanged.ON CHAIN ETHER FLOWS:On-chain data shows Bitmine Immersion Technologies(BMNR)bought about 45,000 ether, roughly $103.5M, via over the counter trades through FalconX and BitGo over the past 48 hours, lifting its holdings to 5,078,386 ether, more than 5% of circulating supply.PRICE ACTION:As of time of writing, bitcoin was trading at $76,214.50, while ether was trading at$2,288.72,according to price data from TipRanks.
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Analyst Views on HOOD
Wall Street analysts forecast HOOD stock price to rise
20 Analyst Rating
16 Buy
4 Hold
0 Sell
Strong Buy
Current: 105.200
Low
130.00
Averages
156.24
High
181.00
Current: 105.200
Low
130.00
Averages
156.24
High
181.00
About HOOD
Robinhood Markets, Inc. is focused on providing financial services offering retail brokerage, crypto, advisory, digital banking services, and private markets access to investors. Its offerings include Brokerage, Robinhood Crypto, Custody, Robinhood Wallet, Robinhood Gold, and Robinhood Gold Card. Brokerage services include investing, options trading, fractional trading, recurring investment, access to investing on margin, fully paid securities lending, cash sweep, instant withdrawals, Robinhood retirement, 24-hour market, joint investing accounts, and event contracts. It also offers a variety of ways for its customers to grow their financial knowledge, including Robinhood Learn, In-App Education, Newsfeeds, Sherwood Snacks, and Crypto Learn and Earn. It also operates regulated crypto platforms including Bitbuy and Coinsquare. Its self-clearing system, order routing system, data platform, and other back-end infrastructure allow its customers to focus on investing, saving and spending.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Significant User Growth: In the first few weeks post-launch, over 50,000 customers opened accounts, trading millions of dollars daily, indicating strong market demand and user acceptance of the new features.
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- Surge in Trading Volume: These new users are handling millions of dollars daily in equities and options, demonstrating the effectiveness of the AI trading tools and user engagement, which may further strengthen Robinhood's position in the competitive fintech market.
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- AI Product Launch: Robinhood launched AI-driven 'agentic trading' and 'agentic credit card' on May 27, enabling AI agents to execute trades and make purchases on behalf of users, marking a significant innovation in fintech.
- Significant User Growth: In the first few weeks post-launch, over 50,000 customers opened accounts, trading millions of dollars daily, indicating strong market demand and user acceptance of the new features.
- Outstanding Stock Performance: Since the AI rollout, Robinhood's stock has surged approximately 41.87%, while the S&P 500 declined about 0.26% during the same period, suggesting heightened investor enthusiasm around the AI launch driving significant stock appreciation.
- Optimistic Analyst Ratings: While Seeking Alpha Quant analysts maintain a 'Hold' view, Wall Street analysts have an average rating of 4.11, indicating a 'Buy' sentiment, reflecting confidence in Robinhood's future growth prospects.
See More
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- New Product Launch: Charles Schwab is collaborating with Cboe Global Markets to introduce all-or-nothing options contracts in the coming months, allowing customers to place yes-or-no bets on the performance of the S&P 500, which is expected to attract more investors.
- Market Trend: The popularity of prediction markets surged during the 2024 U.S. presidential election, and Schwab's new product will further drive the development of this asset class, catering to investors' demand for diversified investment opportunities.
- Competitive Dynamics: Schwab's all-or-nothing options will compete with event contracts recently launched by platforms like Robinhood and Interactive Brokers, highlighting the strong market demand for innovative trading tools.
- Innovative Payout Mechanism: Schwab will also introduce an options offering that allows traders to earn a partial payout if their predictions are close but not entirely accurate, which may attract more risk-tolerant investors to participate in trading.
See More
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- Significant User Growth: CEO Vlad Tenev announced that over 50,000 users have registered for Robinhood's AI trading tools since their May launch, indicating strong market demand that is expected to drive future user growth and revenue increases.
- Surge in Trading Volume: These new users are handling millions of dollars daily in equities and options, demonstrating the effectiveness of the AI trading tools and user engagement, which may further strengthen Robinhood's position in the competitive fintech market.
- Strong Stock Performance: Robinhood's shares have risen approximately 42% since the launch of the AI trading products, significantly outperforming the S&P 500 during the same period, reflecting investor confidence in the company's future growth potential.
- Mixed Analyst Sentiment: Despite optimism surrounding Robinhood's AI initiatives and platform growth, Seeking Alpha's Quant system maintains a Hold rating, while Wall Street analysts average a Buy rating, indicating a divergence in market expectations regarding its future performance.
See More
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- Price Decline: SpaceX's stock has experienced a 20% pullback post-IPO, with a 6% drop on Thursday bringing shares down to $180, indicating a rapid shift in investor sentiment that has significantly eroded retail investors' gains.
- Volume Analysis: The five-day volume-weighted average price (VWAP) for SpaceX stands at $179, suggesting that the average post-IPO buyer is now nearly breaking even, reflecting a reassessment of the stock's value in the market.
- Market Value Fluctuation: After briefly pushing SpaceX's market capitalization close to $3 trillion on its debut, the sharp decline in stock price has led investors to question whether the rapid increase can be justified by underlying fundamentals, impacting overall market confidence.
- Retail Investor Impact: Although many retail investors accessed the IPO through platforms like Robinhood, Fidelity, and SoFi, the limited allocation of shares means that many are now facing reduced profits, highlighting the uncertainty in the current market environment.
See More
Robinhood Participates in SpaceX Record IPO
- IPO Access Advantage: Robinhood, selected as one of five brokerages to offer SpaceX's IPO, has attracted new investors, with its stock up over 6% since the IPO despite being 36% off its highs.
- Innovative Financial Services: Beyond IPO access, Robinhood is expanding into traditional financial services like credit cards and bank accounts, recently gaining approval to underwrite stocks, showcasing its ambitions in the investment banking space.
- Market Volatility Risks: Robinhood's stock is highly correlated with cryptocurrency, with Bitcoin down 38% over the past year leading to a 47% drop in its cryptocurrency revenue in Q1, highlighting the high-risk nature of its business.
- Long-Term Growth Potential: While the SpaceX IPO may not immediately rescue Robinhood's stock, its innovative capabilities and expansion plans could position it as a formidable player in the fintech scene, especially if stable products can offset the risks of its other offerings.
See More
Robinhood Innovates with New Products Driving Growth
- Product Diversification: Robinhood recently received approval to underwrite stocks, marking a significant shift towards traditional financial services, which is expected to attract more users and enhance platform stability.
- IPO Participation Opportunity: As one of five brokerages selected to underwrite SpaceX's record IPO, Robinhood not only provides users with investment opportunities but may also attract new investors interested in participating, thereby increasing active user numbers.
- Cryptocurrency Dependency: Despite a 47% decline in cryptocurrency revenue in Q1, Robinhood's prediction markets revenue surged by 320%, highlighting the volatility and potential returns associated with its high-risk business segments.
- Market Outlook: While the SpaceX IPO may not immediately rescue Robinhood's stock price, its innovative capabilities and ongoing investment in new products could strengthen its competitive position in the fintech sector over the long term.
See More
