Robinhood revealed that the demand for cryptocurrencies on its platform has increased by more than 450% in Q1 2021 compared to Q4 2020.
Robinhood, a popular U.S. crypto brokerage app, announced that it recorded an almost six-fold increase in the number of users that traded cryptocurrency using its platform in Q1 2021.
In a blog post published on Thursday (April 8, 2021), Robinhood noted that 9.5 million users carried out crypto trading via the platform in the first quarter of 2021, signaling a spike from its Q4 2020 record of 1.7 million.
The company’s Q1 2021 record further shows the growing popularity of the crypto industry. In addition, Robinhood also noted growth in its cryptocurrency team, which had more than tripled since the start of the year.
According to the blog post, Robinhood Crypto was created to offer a simple, cheap, and efficient means of trading crypto. The platform supports seven crypto assets which include Bitcoin, Ethereum, Bitcoin Cash, Ethereum Classic, Bitcoin SV, Litecoin, and Dogecoin.
Meanwhile, it is not the first time the company is recording such an impressive result. Back in February, the trading platform witnessed a surge in the number of its monthly users in just two months into 2021, receiving six million new customers.
While Robinhood has recorded progress so far in 2021, the platform has not been without its challenges. Back in January, Robinhood halted trading of GME stocks and other stocks after prices skyrocketed, attracting criticism.
The company also received backlash from the crypto community after it temporarily suspended crypto trading on its platform. There were reports that the GameStop saga caused Robinhood to reportedly halt its IPO plans. However, the company revealed in March that it confidentially filed for an IPO with the U.S. Securities and Exchange Commission (SEC).
Apart from Robinhood, cryptocurrency exchange giant Coinbase also witnessed growth in every area, as revealed in its Q1 2021 results. The exchange, which is preparing for a direct listing on NASDAQ in less than a week, recorded $1.8 billion in revenue, almost 10 times its performance in Q1 2020.