Robinhood Stocks Drop As Crypto Transactions Falls!
- Robinhood’s crypto exchange transactions are down for Q3.
- In turn, the HOOD stock prices tumbles down by 10%.
- Robinhood exchange pulls out surveys upon its users of the crypto traded upon the firm.
In spite of the month of October, being highly prolific for the entire crypto industry, sadly for this whole month into study as a writer, this is the my first negative news for the month.
Not all of the crypto industry has been happy throughout. Accordingly, the crypto exchange Robinhood firm has lost its highly significant revenue in recent times. In similar aspects, the impacts have been statistical for the entire Robinhood firm.
The Exchange Revenue Drop
Ever since the financial services firm based in America, Robinhood launched its very own crypto exchange, the revenue from this exchange alone proved to be of a significant value. Moreover, with the passage of time, this revenue has become a vital part for Robinhood.
For the first time for the year, the revenue for the firm from the crypto transactions upon it’s exchange has gone down. This is due to drop in the transactions upon the exchange.
In addition, the total revenue from the transactions upon the third quarter, Q3 is about 78% less than that of the previous quarter of the year, Q2. Accordingly, the second quarter, Q2 of 2021 saw about a total revenue of $233 million solely upon the crypto transactions upon it’s exchange.
On the other hand, for Q3 of 2021, the total revenue amounted to only $51 million. Despite all this, the report from Robinhood states that about 62% of the revenue from Q3 is from the transactions of Dogecoin (DOGE) alone!
Sink of Stocks
In spite of the low revenue of Q3, many other aspects of the firm got affected profusely. As a result, the stock of Robinhood, the ‘HOOD’ dropped down by 10%.
Accordingly, the price of the stock HOOD fell from $42.28 to $35.04. This fall in the stocks took place at the exact time Robinhood declared officially through its reports denoting the fall in revenue of Q3.
Moreover, statistical data shows that the same trend of Q3 is said to prevail for Q4 of 2021 too.
Besides all the fall downs, in order to find a mitigation plan for its crypto exchange transactions, Robinhood pulled out a survey upon its users. And so, upon the survey which consisted of a list of prominent cryptos, users were asked to select the crypto they traded upon recently.
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Text source: TheNewsCrypto – Blockchain & Cryptocurrency News M
