Dogecoin trading made 62% of total Robinhood earnings in Q2/2021

robinhood dogecoin doge
Image from CNBC.com

Key Takeaways:

  • Q2 2021 was all about crypto for Robinhood Markets.
  • More than half of all crypto transactions revenue came from Dogecoin trade.
  • Dogecoin daily chart reflects high volatility.

YEREVAN (CoinChapter.com) – Robinhood Markets, Inc., a US-based financial services company, completed the report for the second quarter of 2021. The company stated that more than half of the transaction-based sales came from the crypto trade. Moreover, 62 percent of the crypto revenue came from Dogecoin (DOGE) transactions alone.

Robinhood Q2 report

The report stated the impressive growth of Robinhood’s overall crypto-revenue. For example, in Q2 2020, it stood at $5 million only, whereas in Q2 2021, that figure grew to $233 million. Moreover, more than 60 percent funded accounts of Robinhood traded digital assets during the past quarter.

The company registered a 131 percent year-over-year increase in revenue, which clocked at $565 million instead of $244 million on Q2 2020. According to the report, the number of active users increased by 109 percent in the past year and stood at 21.3 million people.

It is unclear how many traded Dogecoin, but Robinhood announced that the next quarter might not be as promising.

“We expect seasonal headwinds and lower trading activity across the industry to result in lower revenues and considerably fewer funded accounts than in the prior quarter.”

commented the Jason Warnick, the CFO of Robinhood.

Also read: Dogecoin duo Mark Cuban and Elon Musk send DOGE 34% higher

Meanwhile Dogecoin…

… ranked #7 cryptocurrency by market cap ($39 billion). The DOGE/USD exchange rate stood at 0.29 in the European session Thursday. The meme coin’s Q2 resulted in a 373 percent growth from April 1 to June 30. Doge’s price action in that period was quite volatile.

The digital asset managed a 1,274 percent increase from April 1’s $0.053 to its all-time high of 0.74 on May 8. After that, however, it gradually lost value due to the crypto-crash in mid-May and hasn’t fully recovered.

Dogecoin Q2 gains. Source: DOGEUSD on TradingView.com
Dogecoin Q2 gains. Source: DOGEUSD on TradingView.com

Multiple exchanges (95 in total) listed Doge, including Binance, Coinbase Pro, Upbit, Okex, etc. Binance has the highest daily transaction volume in Dogecoin, which stood at $1.36 billion.

Also read: Dogecoin bulls request AMC chief to accept Doge payments; price rises.

Robinhood and Doge more than friends?

Robinhood began offering the meme-coin back in 2018. The company even came under suspicion that they could be the mysterious DOGE whale that held over $25 billion in the crypto asset back in March 2021. However, CEO Vlad Tenev denied Robinhood’s affiliation with the account.

Any coins that we hold are for the purposes of sort of providing access in holdings for our customers. We don’t have significant positions in any of the coins that we keep on a proprietary basis or anything like that.

Commented Mr. Tenev.

The CEO also added that Robinhood has been learning how to cope with the growing demand for Dogecoin on its platform, which has even led to several outages on its trading apps.

Also read: US sanctions on Taliban raises fears of Bitcoin misuse

While Robinhood’s Dogecoin offer is no news, the company has never before had this much revenue from the meme-coin. The numbers went from 34 percent in Q1 2021 to 62 percent in Q2. The entire crypto segment in the company’s income has grown considerably and the net revenue itself.

The increased Dogecoin trading reflects the boost in interest toward the digital asset. However, given Doge’s notorious volatility, it is unclear if Q3 will still look bullish for the coin. Robinhood claimed that they might see numbers subside in the current quarter.

Also read: Robinhood Shuts Down Trading Of GameStop, Angering Users.

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