Robinhood Crypto Revenue Falls 55% to $120M but Beats Forecasts

Robinhood’s third-quarter crypto revenue reached $120 million, according to the company’s earnings release on October 27, 2026. While that figure surpassed the $114.1 million analyst consensus estimate, it still represented a 55% decrease compared to the same period last year. However, the total increased by 20% from the second quarter’s $100 million.

Cryptocurrency accounted for merely 8.4% of total quarterly revenue, dropping from approximately 21% a year prior. Because this crypto beat coincided with a broader company-wide earnings miss, Robinhood (HOOD) stock dipped roughly 5% during after-hours trading.

July’s Chain Launch Followed a Weak Second Quarter

Event contracts generated $156 million in the second quarter, surpassing crypto revenue for the first time. Robinhood thus entered the third quarter with a new revenue stream outpacing crypto trading, alongside a blockchain debut designed to expand its digital asset footprint.

Read More: What Is Robinhood Chain? How Its $51M Debut Beat Ethereum

Robinhood Chain officially launched on July 1. According to the firm, the network handled over $80 billion in decentralized exchange trading volume and generated upwards of $50 million in chain fees during its inaugural quarter on the mainnet.

Robinhood Crypto Revenue Rebounds in Q3 as Annual Trading Slows

User activity decreased across both the main Robinhood app and Bitstamp, the exchange acquired by Robinhood. Overall crypto trading volume dropped 38% year over year to $50 billion, broken down by a 48% decline for the Robinhood app and a 28% decline for Bitstamp.

Prediction Markets Helped Lift Robinhood Sales to a Record

Overall company revenue grew 12% year over year to a record $1.424 billion, falling just shy of the roughly $1.43 billion anticipated by analysts. Options revenue rose 31% to $399 million, while equities revenue surged 41% to $121 million.

Prediction markets extended their lead over crypto, as users traded a record 16.4 billion event contracts—more than seven times the volume from a year earlier—pushing the segment well beyond its second-quarter milestones.

Robinhood posted earnings of $0.51 per share, missing the $0.55 expected by analysts. Net income declined 14% year over year to $476 million.

The quarter included a $67 million unrealized loss on Robinhood Ventures Fund I, amounting to $0.07 per share. Adjusted earnings, excluding certain items, came in at $0.60 per share, marking a 3% decline year over year.

Robinhood Signed a Ripple Deal Hours Before Earnings

Just hours prior to the earnings release, Robinhood announced a partnership with Ripple to bring RLUSD to Robinhood Chain and Bitstamp. Under the agreement, Ripple will also provide treasury software to Robinhood and lending services for Bitstamp traders. Robinhood adjusted its full-year expense outlook while the integration of RLUSD into the main app remains scheduled for later in 2026.

Successfully bringing the stablecoin into the application serves as the upcoming product milestone. For the trading division, the next test is straightforward: determining whether the quarterly recovery in crypto revenue can be sustained following a year of significantly reduced activity.

?FAQ

01How was the quarter’s $50 billion in crypto trading volume split between the Robinhood app and Bitstamp?

The Robinhood app handled $21 billion, while Bitstamp processed $29 billion, giving the acquired exchange the larger portion of the combined volume.

02Why did Robinhood shares fall despite the crypto revenue beat?

The positive crypto results occurred alongside a wider company earnings miss. Revenue of $1.424 billion came in slightly below the roughly $1.43 billion expected by analysts, and earnings of $0.51 per share missed the $0.55 consensus. Net income fell 14% year over year to $476 million, driving shares down roughly 5% in after-hours trading.

03How much revenue did Robinhood’s prediction markets generate in the third quarter?

Prediction markets produced $173 million, up from $156 million in the second quarter and more than six times the figure from the same period last year.

04When is RLUSD scheduled to reach the Robinhood app?

The in-app launch is targeted for later in 2026, forming part of the Ripple agreement revealed hours ahead of Robinhood’s October 27 earnings publication.

05What is Robinhood’s revised 2026 expense guidance?

Robinhood projects adjusted operating expenses and stock-based compensation to land between $2.675 billion and $2.75 billion. The lower end remains unchanged from the July outlook, while the previous upper bound was $2.775 billion.

This article is for information only and is not financial advice.