Robinhood's Global Crypto Expansion: EU Entry and UK Brokerage Launch

The European cryptocurrency trading platform is set to launch in the "upcoming weeks," according to a statement from Robinhood, the well-known trading platform. Robinhood (HOOD) is preparing to initiate cryptocurrency trading in the EU and establish a brokerage in the UK in the near future.

In its third-quarter earnings report released on Tuesday, Robinhood stated, 

"With a skilled team already in place, we will be commencing brokerage services in the United Kingdom shortly."

 The company added, 

"As part of our global expansion strategy, we are also gearing up to introduce cryptocurrency trading in the EU after the UK rollout."

Robinhood had previously expressed its intentions to expand into the UK and was actively recruiting personnel during the summer for this purpose. This decision aligns with the backdrop of some cryptocurrency firms ceasing operations for UK customers due to new regulations that mandate clear risk labeling and system adjustments, which became effective on October 8.

In addition to the expansion news, Robinhood's third-quarter earnings statement revealed a 55% decrease in cryptocurrency-related revenue, down to $23 million compared to the same quarter the previous year. In June, Robinhood discontinued support for tokens that were classified as securities in lawsuits brought by the SEC against cryptocurrency exchanges Binance and Coinbase. These tokens included Cardano (ADA), Polygon (MATIC), and Solana (SOL). As of now, the platform offers trading for 15 different cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), Dogecoin (DOGE), and Avalanche (AVAX).

After the release of Q3 earnings that fell short of analyst expectations and less-than-encouraging guidance, the company's shares experienced a 5.8% decline in post-market trading. For the year, HOOD has seen an approximately 18% increase, compared to the S&P 500's 14% advance.'

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