Dogecoin Accounts for 40% of Robinhood’s Crypto Transaction Revenue in Q3
Trading platform Robinhood has reported that 40% of its cryptocurrency transaction-based revenue was attributable to transactions in the meme cryptocurrency dogecoin in the third quarter. By comparison, dogecoin accounted for 62% of the company’s transaction-based revenue in the second quarter.
Dogecoin Trading on Robinhood
Robinhood Markets Inc. stated in its quarterly filing with the U.S. Securities and Exchange Commission (SEC) Friday:
For the three months ended September 30, 2021, 40% of our cryptocurrency transaction-based revenue was attributable to transactions in dogecoin.
This was a significant decrease from 62% for the three months ended June 30, and 34% for the three months ended March 31.
Robinhood’s third-quarter transaction-based revenue totaled $267 million, with only $51 million coming from cryptocurrency trading. Revenue from crypto trading totaled $233 million in the second quarter.
The company’s Q3 filing further notes: “For the quarters ended September 30, 2021, June 30, 2021, and March 31, 2021, transaction-based revenue attributable to transactions in dogecoin comprised approximately 8%, 32%, and 7% of our total net revenues, respectively.”
Robinhood explained, “We support trading in dogecoin and we benefited from a surge in interest for dogecoin during the quarter ended June 30, 2021,” adding:
While we currently support seven cryptocurrencies for trading, market interest in particular cryptocurrencies can be volatile and there are many cryptocurrencies in the market that we do not support.
DOGE was down about 9% in the past 24 hours, but up 7% in the last seven days and 32% in the last 30 days.
Currently, supporters of DOGE rival shiba inu are petitioning on Change.org for Robinhood to list SHIB. At the time of writing, more than 432K signatures have been collected. “Dogecoin has been a huge success for Robinhood, and its investors. We have all enjoyed the ride. Shiba Inu is a similar meme coin with genuine potential, up 2,000% in the last weeks,” the petition states.
What do you think about dogecoin accounting for 40% of Robinhood’s transaction-based revenue? Let us know in the comments section below.