Robinhood Crypto Revenue Falls 55% to $120 Million in Q3 2026 as Event Contracts Pull Ahead
Robinhood made $120 million from crypto in the third quarter of 2026, down 55% from a year earlier. The rest of the company grew. Total net revenue rose 12% to $1.42 billion, and options revenue was up 31% to $399 million, in results Robinhood reported on October 27.
The crypto slump didn’t sink the quarter because something else filled the gap. Event contracts, the prediction markets business, brought in $173 million, more than six times the figure a year ago and $53 million more than crypto. That’s the second quarter in a row. In Q2 event contracts made $156 million while crypto made $100 million.
Volumes fell along with revenue. Crypto notional volume dropped 38% to $50 billion. Inside the Robinhood app it dropped 48% to $21 billion, while Bitstamp, the exchange Robinhood bought, slipped 28% to $29 billion and is now the bigger of the two venues. The retail app is where Robinhood built its crypto name. It’s also where the fall is steepest.
Where the retail money went
Event contracts traded rose more than sevenfold to a record 16.4 billion. Rothera, Robinhood’s joint venture with Susquehanna International Group, passed $100 million in annualized revenue in its first full quarter of operation. A customer who wants to bet on a rate decision or a football score now has somewhere to put the money one tab away from the token screen, and plenty of them are using it.
That’s a problem for crypto exchanges well beyond Robinhood. Retail spot flow is the best-paying business an exchange has, and here it’s leaking into a product with its own legal fight. States are still challenging sports contracts as unlicensed gambling, a dispute we covered in the Kalshi and Polymarket rivalry in July. Robinhood’s own release lists the risk that regulators or courts could stop it offering event contracts at all. The revenue that replaced crypto is growing fast. It isn’t safer.
Some of the crypto drop may be pricing, too. The rough take works out to about 24 basis points ($120 million on $50 billion of volume, app and Bitstamp together). The release’s risk section mentions a “new fee-based model for cryptocurrency” without saying what it charges or when it applies in full. A change in how Robinhood prices crypto trades would move this line as much as the market does, so the 55% isn’t a clean read on demand alone.
The chain is busier than the app
Robinhood Chain, the layer 2 network built on Arbitrum that went live on mainnet on July 1, had its first full quarter. Robinhood says it became a top-five chain by revenue and volume, with more than $80 billion in DEX volume and more than $50 million in chain fees.
That DEX number is bigger than all the crypto trading on the app and Bitstamp combined. The two aren’t measured the same way (DEX volume counts every swap by anyone on the chain, bots and market makers included), and the release doesn’t say how much of the $50 million reaches Robinhood’s income statement. Still, it shows where the company is placing its crypto bet, on rails for tokenized assets and stablecoins. Ripple’s RLUSD went live on Robinhood Chain and Bitstamp ahead of the main app, as covered in the Ripple, Robinhood, BNY and C2FO deals.
The international push points the same way. Robinhood launched crypto trading in the UK during the quarter and got authorization from the Dubai Financial Services Authority covering trading and custody across asset classes, crypto included. The Dubai rollout starts in 2027, so none of it shows up in these numbers.
Funded customers rose 7% to 28.7 million and total platform assets grew 19% to $396 billion, even with lower crypto prices dragging on the crypto share of those assets. The customers are still there. They’re trading other things.
Crypto now earns Robinhood less than options, event contracts or equities. Equities beat it by a million dollars.