Robinhood experienced a 29% drop in its crypto trading volume in February, a decline that outperformed decreases in equities and options trading, both of which fell by 1%. This downturn coincided with a general decline in the cryptocurrency market, where Bitcoin lost about 15% of its value and the CoinDesk 20 Index dropped approximately 23%. Despite this decline, Robinhood's crypto volumes were still 122% higher than in February 2023, totaling $14.4 billion. The decline in trading activity indicates a diminishing interest from retail investors, which could have repercussions for platforms like Coinbase. Meanwhile, memecoin activity has also decreased significantly. Year-to-date, Robinhood's shares fell by 4%, while Coinbase's shares declined 15%. Coinbase is diversifying its services by expanding its institutional offerings, which might mitigate the impact from the decline in retail trading.

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