Net profit in the second quarter was US$386 million. Robinhood made money by

Written by: ChandlerZ, Foresight News  

On July 30, U.S. fintech platform Robinhood released its Q2 2025 financial results, showing that its overall business continued its strong growth momentum, with particularly prominent performance in the expansion of cryptocurrency-related businesses.  

The company's total net revenue reached $989 million, a year-on-year increase of 45%, and net profit was $386 million, up 105% from the same period last year. Diluted earnings per share doubled from $0.21 in the same period last year to $0.42. In this quarter, Robinhood delivered a solid performance in terms of revenue, profit, and user growth.  

### Strong Quarterly Financial Performance and Sustained Growth in Platform Activity  

The number of active funded accounts on the platform reached 26.5 million, a year-on-year increase of 2.3 million, including a total of 27.4 million investment accounts. The growth in user numbers was accompanied by a significant expansion of platform assets. As of the end of June 2025, the total assets under custody on Robinhood's platform reached $279 billion, with an almost doubling annual growth rate. This growth mainly came from continuous net deposits by customers and the recovery of overall market valuations.  

User activity also showed a positive trend. The Average Revenue Per User (ARPU) was $151, a year-on-year increase of 34%. In terms of net deposits, the company recorded $13.8 billion in the quarter, totaling $57.9 billion over the past 12 months, a year-on-year increase of 41%. This data reflects enhanced customer stickiness and improved capital retention capabilities. The number of users subscribed to Robinhood Gold reached 3.5 million, with an annual growth rate of 76%. The Gold service adopts a membership pricing model of $5 per month, generating annual subscription revenue of $176 million, which serves as a stable source of cash flow.  

In terms of trading activity, the volume of options contracts reached 515 million, and the notional trading volume of stocks was $517 billion, both hitting all-time highs. Robinhood continued to increase support for active trading users, including product iterations such as chart tools, simulated yield displays, and options analysis modules, helping the company further attract high-frequency trading user groups.  

### Rapid Growth in Crypto Business, with Bitstamp Consolidation Bringing Incremental Gains  

The most watched segment this quarter was Robinhood's crypto asset business. The company disclosed that cryptocurrency trading revenue was $160 million, a year-on-year increase of 98%. The notional trading volume of cryptocurrencies within the Robinhood App was $28 billion, a year-on-year increase of 32%. In addition, Bitstamp, which was acquired in June, contributed $7 billion in trading volume, which was consolidated into the financial statements for the first time. Based on this, Robinhood's total crypto trading volume for the quarter reached $35 billion, making it the fastest-growing segment in its trading business.  

The consolidation of Bitstamp not only expanded the trading scale but, more importantly, brought institutional trading channels and global regulatory qualifications to Robinhood. Bitstamp holds over 50 global crypto licenses, with 90% of its trading volume coming from institutional users, charging an average fee of 5 basis points per transaction, becoming a key component of Robinhood's emerging revenue.  

In addition to Bitstamp, Robinhood also plans to complete the acquisition of Canadian platform WonderFi, with the transaction expected to close in the second half of 2025. Through this acquisition, the company will expand its digital asset service capabilities in Canada and further enter markets outside North America.  

At the product level, Robinhood continued to iterate in the crypto sector. In Q2 2025, the company expanded its services to 30 European countries, significantly up from 4 countries in the same period last year. Robinhood also launched "stock token" products, allowing users in Europe to trade tokenized versions of over 200 U.S. stocks and ETFs. In the U.S. market, the company has launched staking services for ETH and SOL, while planning to introduce crypto perpetual contracts.  

The company is also developing Robinhood Chain, an underlying technology platform that will support future on-chain transactions and asset management. These initiatives not only expand Robinhood's technical capabilities in the digital asset field but also enhance its compliance coverage and product diversity across multiple regions.  

### Expanding Business Boundaries and Diversifying Financial Service Formats  

In addition to its trading and crypto businesses, Robinhood is gradually building a product system centered on account management and wealth tools. In Q2 2025, assets in Robinhood Retirement accounts reached $19 billion, a year-on-year increase of 118%. The growth of such long-term funds enhances the stability of platform assets and the lifetime value of users.  

Robinhood Strategies, launched earlier this year, has also begun to scale. This digital asset allocation service currently manages over $500 million in assets and serves more than 100,000 users, initially establishing a passively managed user asset pool. The company is also gradually rolling out the Robinhood Gold Card credit card, with 300,000 customers having opened the card by the end of the quarter, linking trading accounts with consumption scenarios to increase the proportion of users' funds on the platform.  

In terms of revenue structure, the company's total operating expenses in the second quarter were $550 million, a year-on-year increase of 12%. Adjusted operating expenses were $444 million, with the growth rate controlled within 9%. In its earnings report, the company updated its full-year operating expense forecast. Considering the Bitstamp acquisition, it expects full-year adjusted operating expenses and stock-based compensation costs to be between $2.15 billion and $2.25 billion, slightly higher than the target set at the beginning of the year.  

By the end of the quarter, Robinhood held $4.2 billion in cash and equivalents, providing a solid financial foundation for future business expansion and repurchase plans. In terms of shareholder returns, the company has repurchased a total of $703 million in common stock over the past 12 months and stated that it will continue to implement the remaining authorization, with the repurchase pace flexibly adjustable according to market conditions.  

### Future Roadmap  

Robinhood outlined its future development directions in the earnings report, focusing on three core areas: deepening trading tools, expanding customer assets, and expanding international markets.  

At the level of trading tools, Robinhood will continue to iterate features for active traders. Robinhood Legend will add new functions such as a prediction market module, simulated yield tools, and cross-asset chart analysis, strengthening technical support for high-frequency users. The Cortex intelligent analysis system will also be launched in more scenarios to assist users in making more detailed investment judgments.  

In terms of account systems and fund coverage, Robinhood plans to launch Robinhood Banking in the fall of 2025, integrating checking, savings, and wealth management to build a closed asset custody and payment platform. The company will also expand the issuance of Robinhood Gold Cards and link them with the trading reward system to enhance user stickiness.  

International business is a key expansion focus for the company in 2025. Robinhood has fully entered 30 European countries and launched localized trading services in the UK. The company plans to enter the Asia-Pacific market in the next few quarters and has initiated the financial licensing application process in multiple regions.  

In the crypto ecosystem, the company will continue to expand product boundaries, launch crypto perpetual contracts in the European market, and promote the development of Robinhood Chain to build on-chain infrastructure for its own services. After the integration of the two trading platforms, Bitstamp and WonderFi, the company will have both institutional and retail-oriented crypto capabilities in Europe and the U.S., laying the foundation for a global business model.  

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