After establishing dominance in the United States, Robinhood is set to expand into Asia next year, with plans to open its regional headquarters in Singapore, according to a report by Bloomberg.
Expanding into the Asian Market
“We plan to be serving customers across Asia soon,” Robinhood’s CEO, Vlad Tenev, announced on Wednesday at the firm’s investor day in New York.
The move into Asia follows the company’s expansion in the United Kingdom and Europe. Robinhood entered the European Union last year with crypto trading and introduced regular brokerage services in the UK earlier this year.
Citigroup analyst Christopher Allen confirmed in a note that Robinhood “has approval to expand its product offering in the UK and announced plans to open an APAC (Asia-Pacific) office in Singapore and acquire brokerage licences in the region.”
A Game-Changer in the Brokerage Industry
Founded in 2013, Robinhood transformed the American brokerage industry with its zero-commission model. Its disruptive impact prompted legacy giants like Vanguard, Charles Schwab, and Fidelity to adopt similar zero-fee trading options for retail investors.
The California-based brokerage had 11.8 million monthly active users and 1.98 million premium customers as of June 2024.
Its entry into Asia comes as Chinese platforms Tiger Brokers and Futu Holdings expand their presence in the growing South Asian markets.
Robinhood’s cryptocurrency offerings have also driven growth domestically and internationally. Crypto trading volume on the platform doubled to $14.4 billion in the third quarter of 2024, boosting revenue from this segment by 65 per cent to $61 million.
During the same period, Robinhood generated $637 million in total revenue, a 36 per cent increase. Transactions-based revenue rose to $319 million, up 72 per cent. Despite crypto’s strong growth, options trading remained the largest revenue source, contributing $202 million, a year-over-year increase of 63 per cent.
The brokerage is also heavily expanding its cryptocurrency products in Europe, including the launch of staking services for proof-of-stake tokens like Ethereum. To further strengthen its portfolio, Robinhood recently agreed to acquire TradePMR, a custodial and portfolio management platform, for $300 million.
