Robinhood is an online financial service platform that allows investments without any commission. Along with cryptocurrency, the platform offers trading of stocks and exchange-traded funds.

Robinhood first came into existence in 2013. It was developed as an online broker platform by two Stanford University students, Vlad Tenev and Baiju Bhatt.

They designed this platform with low fees and fewer trading barriers to make investment easy for people without much investing experience.

Vlad and Baiju wanted to attract the youth towards investments and trading.

For years, it remained popular as an online brokerage platform dealing in stock options and ETF until cryptocurrency trading was added to the platform in 2018. In 2024, Robinhood now supports trading more than 30 cryptocurrencies.

From the start, Robinhood has been a commission-free trading platform, but the company has been generating significant revenue in payment for order of flow.

In this process, whenever a trade is made on the platform, Robinhood directs these orders to other more prominent organizations for trade execution.

Robinhood doesn’t send the trade orders directly to the stock exchange. Instead, it lets third-party market makers bid for the order.

It selects the best bidder with the best trade execution record. Even by using this method and not charging a commission, it seems like Robinhood has managed to thrive in the market.

We have gathered data depicting how Robinhood tackled all the obstacles to keep emerging as a successful company.

Keep reading to find more through data.

Summary of Robinhood Statistics

  1. As per the last count in May of 2024, Robinhood has 24.1 million funded accounts.
  2. The revenue earned by Robinhood in the first quarter of 2024 is $618 million.
  3. In 2023, Robinhood made a profit of about $30 million.
  4. Since the beginning of 2024, the share prices of Robinhood increased by 50%.
  5. Robinhood recorded a notional crypto trading volume of $36 billion in the first quarter 2024.

Robinhood Funded Accounts Count

On Robinhood, the accounts that have money deposited and are ready for trading are called funded accounts. Users holding such accounts are automatically referred to as funded customers.

The last counted data of May 2024 shows that Robinhood has 24.1 million funded accounts worldwide. In 2023, the cumulative funded account count was 23.3 million.

From 2023 to just the first quarter of 2024, the funded account or user number grew by 3.43%. Again, when the funded account count 2023 is compared against the data for 2022, we see a growth percentage of 1.75%.

After looking at the data closely, it can be quickly concluded that the funded account numbers on Robinhood have only increased over the years.

There are no big jumps, but there has been a steady increase in funded users. For instance, from 2020 to the first quarter of 2024, the number of funded accounts surged by 92.8%. This only proves that Robinhood is not just thriving but growing, too.

Year Number Of Funded Accounts
2020 12.5 Million
2021 22.7 Million
2022 22.39 Million
2023 23.3 Million
May 2024 24.1 Million

Robinhood Annual User Statistics

The total number of users last year,i.e., in 2023, was 10.8 million. This figure is not wrong, but it is lower than Robinhood’s highest user count in 2021, 22.5 million.

As per the reports, annual users began declining after 2021.

In 2022, the count came to a stop at 14 million. There was a significant drop of 37.78% between 2021 and 2022. From 2022 to 2023, users again fell by 22.86%.

Every year, ar the number of people using Robinhood increases. Hence, it’s time for the company to find out the reason that’s causing user count to fall year after year.

Year Annual User Count
2015 0.5 Million
2016 1 Million
2017 2 Million
2018 6 Million
2019 10 Million
2020 13 Million
2021 22.5 Million
2022 14 Million
2023 10.8 Million

Revenue Earned By Robinhood

In the case of Robinhood, the net revenue includes all the incomes from transactions, interest, and gold subscriptions.

For the Q1 of 2024, Robinhood reported a net revenue of $618 million, and it’s just the start. We still have three more quarters to go.

The records state that the net revenue in 2023 was $1.87 billion, a 38.51% increase from 2022. In 2022, Robinhood’s closing net revenue was $1.35 billion. These variations in data show an upward trend in income for the company.

Year Net Revenue
2019 $278 Million
2020 $958 Million
2021 $1.8 Billion
2022 $1.35 Billion
2023 $1.87 Billion
Q1 2024 $618 Million

Robinhood Assets Under Custody Statistics

Simply put, the term ‘Assets Under Custody’ means the total value of financial assets that a financial organization manages or holds on behalf of its clients.

Here we are talking about the amount of financial assets Robinhood holds in its custody on behalf of its customers.

According to the reports, Robinhood had about $94.4 billion in assets under control in 2023, which in Q1 of 2024 increased to $129.6 Billion.

There is a 37.29% increase in the value of assets under Robinhood’s custody since 2023. This increase reflects the growth of Robinhood.

It also indicates that users are learning to trust Robinhood with their assets.

Year Amount Of Assets Under Custody
2020 $63 Billion
2021 $94 Billion
2022 $62 Billion
2023 $94.4 Billion
Q1 2024 $129.6 Billion

Notional Crypto Trading Volume On Robinhood

Over the years, the volume of notional crypto trading has decreased. For instance, in 2023, the company ended the year with a notional crypto trading volume figure of $4 billion, which was $5.3 billion in 2022. The trading volume went down in 2023 by 24.53%.

However, the start of 2024 brought some hope. In March, the notional crypto trading volume stood at $23.6 billion. But in just two months, numbers suffered a sharp 57% decline, and the notional crypto trading volume came down to $10.1 billion in May.

Still, the numbers are way better than the records of 2023 or 2022.

Year Notional Crypto Trading Volume
2020 $27 Million
2021 $419 Million
2022 $5.3 Billion
2023 $4.0 Billion
March 2024 $23.6 Billion
May 2024 $10.1 Billion

FAQs

Q1. Is Robinhood safe to use?

Robinhood is a Financial Industry Regulatory Authority member and registered with the Security and Exchange Commission.

It follows all security laws established by these regulatory bodies to protect the investors’ funds.

The platform is also registered with the Security Investors Protection Corporation (SIPC) which offers insurance coverage of $500,000 out of which $250,000 can be claimed as cash.

In addition to this, they have also brought another external insurance to support the SIPC one.

If, by chance, the SIPC insurance limits are exceeded, this extra layer offers coverage of $1 billion and gives a combined return of $50 million per customer.

Q2. What percent of Annual Robinhood Users Traded Crypto in 2023?

In 2023, the total annual user on the platform was 10.8 million. As per the reports, out of these 10.8 million users, about 2.3 million traded at least once. Based on this data, if we calculate, we find that 21.3% of annual users traded crypto in 2023.

Q3. What are the most held cryptocurrencies on Robinhood

The most held cryptocurrencies on Robinhood in 2024 are –

  1. Bitcoin (BTC)
  2. Ethereum (ETH)
  3. Dogecoin (DOGE)
  4. Cardano (ADA)
  5. Solana (SOL)

Q4. Is there a minimum balance requirement to trade on Robinhood?

No. For trading on Robinhood, no minimum balance is required.

Q5. Can investments from another brokerage be transferred to Robinhood?

Yes. Robinhood is equipped with an Automated Customer Account Transfer Service feature. Using ACATS, users can transfer their investments from other brokerages to Robinhood.