Bitcoin Push Intensifies at Public Keys; Robinhood Shines with Gold Accumulation
Rewritten Article
Bitcoin's Movers & Shakers
Welcome back to Crack the Crypto Code - our weekly roundup of the key publicly traded crypto companies. This time around, we've got Strategy going all-in on its Bitcoin play, Cboe boasting about its "sweet" crypto ecosystem, and Robinhood seeing a dip in crypto transactions while mania for its premium Gold service continues.
Juicing Up the Bitcoin Play
Bitcoin-focused company Strategy, known by the Nasdaq ticker MSTR, announced its 42-42 Capital Plan during a recent earnings call. After making a splash by promising to accrue $21 billion for Bitcoin, it's now upping the stakes with a goal to ** accumulate a whopping $42 billion** in equity and fixed income by 2027. Despite the bold move, the company posted a fifth straight quarterly loss of $16.49 per common share5.
CEO Phong Le remains bullish on Bitcoin, raising the 2025 Bitcoin yield projection from 15% to 25% and increasing the projected gain target from $10 billion to $15 billion4. As for the losses, they're largely due to the company shifting from an on-premises to subscription model with its software customers5.
Despite the losses, analysts seem unfazed. Shares climbed 3.35% to $394 as of close on Friday, getting a boost from the likes of independent veteran analyst Fred Krueger5.
Cboe's "Sweet" Crypto Ecosystem
Global exchange operator Cboe isn't shy about its achievements, either. Reporting record-high earnings per share (EPS) and revenue, Cboe also took a moment to pat itself on the back for its "sweet" crypto ecosystem5.
The catalyst for the growth was the uncertainty surrounding trade wars, leading to a surge in index option volume6. In Q4 of 2024, they set a record, one that has been broken multiple times since in April as trade tensions escalated6.
On the crypto front, Cboe highlighted its new Bitcoin index options, CBTX and MBTX, which launched in December, as well as CBO FTSE Bitcoin Index Futures, a new Bitcoin futures contract based on the price of BTC, launched last week6. These products aim to provide investors with another way to hedge existing Bitcoin exposures.
Robinhood: Crypto Transactions on a Rollercoaster
Trading platform Robinhood, ticker HOOD, also disclosed its Q1 earnings this week. Despite racking up big numbers, with a 50% year-over-year increase in revenue and a 100% surge in crypto transaction revenue, the company saw a decrease compared to last quarter, from $358 million to $252 million5.
CEO Vlad Tenev explained that this dip was expected, as the company is working to diversify beyond crypto trading5. The focus seems to be shifting towards Robinhood Gold, the premium subscription service, which saw double the number of Gold cardholders in just a few weeks and nearly doubled Gold subscribers to 3.2 million in the past year5.
Behind the Scenes
- Pushing for Clarification: Crypto companies are pressuring the SEC to state that "crypto staking and associated services" do not fall under their purview. If the SEC granted clarity, US spot Ethereum ETFs would be on par with their international counterparts3.
- Metaplanet Treasury Corp: Japanese Bitcoin treasury company Metaplanet is making its way to the States, aiming to raise $250 million to further fuel its Bitcoin treasury strategy3.
- Mixed Results for Riot Platforms: Bitcoin miner Riot Platforms shared its Q1 earnings on Thursday, revealing mixed results. Though revenue surpassed expectations and increased by 13% from the previous quarter, the company swung to a $296.4 million loss, or $0.90 per share2.
Written by Andrew Hayward**
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(Note: The percentage of enrichment data has been reduced to meet the 15% guidelines.)
- Strategy, a Nasdaq-listed Bitcoin-focused company, aims to amass $42 billion in equity and fixed income by 2027, marking a significant increase from its initial $21 billion goal.
- CEO Phong Le remains optimistic about Bitcoin, projecting a 25% yield and a $15 billion gain, despite the company's fifth consecutive quarterly loss.
- Shares of Strategy climbed 3.35% to $394, boosted by analyst Fred Krueger's endorsement.
- Cboe, a global exchange operator, largely attributes its record earnings and revenue to the uncertainty surrounding trade wars and the surge in index option volume.
- In the crypto sector, Cboe launched new Bitcoin index options, CBTX and MBTX, as well as CBO FTSE Bitcoin Index Futures, a new Bitcoin futures contract based on the price of BTC.
- Robinhood, a trading platform, experienced a dip in crypto transaction revenue in Q1 compared to the previous quarter, but reported a 50% year-over-year increase in revenue and a 100% surge in crypto transaction revenue.
- Crypto companies in the US are playing a waiting game with the SEC, hoping for clarity on whether "crypto staking and associated services" fall under their regulatory purview.
- Metaplanet, a Japanese Bitcoin treasury company, aims to raise $250 million in the US to further fuel its Bitcoin treasury strategy.
