"Hopefully after this, it will be more advanced, don't suddenly become lonely."
In order to expand its global cryptocurrency presence and attract institutional clients through new product offerings, trading platform Robinhood (HOOD) has agreed to acquire digital asset exchange Bitstamp.
In addition to advising HOOD and Bitstamp on the sale, Barclays Capital and Galaxy Digital said the $200 million cash deal is expected to close soon, in the first half of 2025.
Bitstamp has shown resilience through the crypto market cycle, commented HOOD general manager Johann Kerbrat, adding that HOOD is well positioned to expand its footprint outside the United States (US) and welcome institutional clients to HOOD.
For context, Bitstamp is a United Kingdom (UK)-based crypto exchange founded in 2011 that offers spot trading of over 85 crypto and other digital asset products including institutional loans.
Meanwhile, HOOD will offer crypto trading to customers in the European Union in December 2023.
According to Bitstamp CEO JB Graftieaux, bringing Bitstamp's platform and expertise into the HOOD ecosystem will provide users with an enhanced trading experience with a continued commitment to compliance, security and putting customers first.
So here it can be seen that the agreement could increase the competition in the crypto exchange following international expansion HOOD may take more market share than Coinbase (COIN) which is also pushing to expand outside of North America.
