Even though the activity for equities and options continued to be high, popular trading platform Robinhood (HOOD) had a sharp fall in crypto trading volume in May, the business stated on Monday.
Robinhood May Crypto Trading Volume Drops 68%
According to the business, cryptocurrency trade volume fell to $2.1 billion in May, a 43% decrease from the previous month. The amount of cryptocurrency transactions decreased 68% annually, it claimed.
Daily average trading revenue (DART), a measure that tracks the average trade per day that earned commissions or fees, was down 22% in May and 53% over the previous year for crypto trading.
3 Tokens Delisted
Only 15 cryptocurrencies were still available for trade on the site as of last week after Robinhood delisted three tokens as part of its routine assessment, the company claimed. The SEC has recently sued Coinbase (COIN) and Binance, claiming that the delisted tokens, ADA from Cardano, MATIC from Polygon, and SOL from Solana, are securities.
The Relationship Between Robinhood and the SEC
Earlier this month, lawsuits against Coinbase and Binance were filed on the grounds that they had broken US securities laws. According to information provided by Robinhood in its 10-K filing from February, the SEC has only served it with an investigative subpoena in relation to its cryptocurrency company.
About Robinhood
The trading app Robinhood is well-liked, especially among novice investors. Users of Robinhood can buy and sell stocks, options, and ETFs in addition to simple crypto trading.
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