Robinhood Markets has successfully finalized its $180 million acquisition of WonderFi, a Toronto-based provider of digital asset products and services. This strategic move marks Robinhood’s entry into the Canadian market through the acquisition of an established regulated cryptocurrency exchange operator. As part of this acquisition, WonderFi’s regulated trading platforms, Bitbuy and Coinsquare, will now be integrated under the Robinhood brand. Canadian users will gain access to the Robinhood app, which features a competitive flat fee of 0.5% per CAD trade, enhanced by the company’s renowned user interface and global infrastructure. In its announcement, Robinhood emphasized its commitment to maintaining WonderFi’s existing institutional relationships in Canada while leveraging the institutional business developed with Bitstamp. This expansion aligns with Robinhood’s overarching strategy to establish a comprehensive global financial ecosystem. Following the acquisition, the company has attracted over 1 million international funded customers, including about 300,000 from WonderFi. Additionally, WonderFi employees will join Robinhood’s Canadian team, which comprises over 240 staff members. Robinhood established its Canadian headquarters in Toronto in 2024, recognizing Canada’s robust tech talent pool. Johann Kerbrat, SVP and General Manager of Robinhood Crypto & International, noted, “WonderFi’s extensive experience with regulated crypto platforms for both novice and experienced users makes it an ideal partner for advancing Robinhood’s mission in Canada. We are excited to complete this acquisition and aim to provide innovative, user-focused investment products to Canadian clients.” This development follows a period in which Robinhood reported a significant decrease in crypto trading activity, with transactions falling 47% year-over-year to $134 million and trading volumes down 48% to $24 billion in the first quarter. Despite this decline, the company’s net income saw a modest increase of 3% to $346 million, although it fell short of analysts’ forecasts for earnings and revenue. In February, Robinhood introduced the public testnet for Robinhood Chain, an Ethereum Layer 2 network utilizing Arbitrum technology. This testnet offers developers early access before the anticipated mainnet launch later this year and facilitates the creation and testing of applications using standard Ethereum tools. Several infrastructure providers, including Alchemy, Chainlink, LayerZero, and TRM, have already begun integrating with the network.
