Robinhood hints at Bitcoin futures launch

Online brokerage Robinhood is launching futures trading for Bitcoin BTCUSD and other assets. 

According to the Jan. 29 announcement, Robinhood is rolling out futures trading for several assets, including the “S&P 500, oil, Bitcoin, and more,” as indicated on its website. The platform mainly specializes in stock trading but added cryptocurrency trading in 2018.

In addition to BTC futures, Robinhood plans to support trading for futures tied to Ether ETHUSD, its website said. 

Since 2024, Robinhood has sought to diversify its trading options beyond stocks and core spot cryptocurrencies such as BTC. In October, the company introduced contracts for certain users to bet on the outcome of the presidential election.

In November, the brokerage began supporting altcoins including including Solana SOLUSD, XRP XRPUSD and Pepe (PEPE), among others, Bloomberg reported.

Mounting competition

Other traditional online brokerages are mulling similar moves. Morgan Stanley, one of the world’s largest asset managers, is considering adding cryptocurrency trading to its E-Trade online brokerage platform, according to a Jan. 2 report by The Information. 

Bitcoin futures are surging in popularity, with open interest nearing $65 billion as of Jan. 29, according to data from Glassnode. 

Robinhood will face competition from rivals including CME Group, the US’s largest futures exchange, and Coinbase Derivatives Exchange, which offers futures contracts for BTC, ETH and altcoins such as Litecoin LTCUSD and Dogecoin DOGEUSD. 

In a Jan. 29 X post, Blockworks co-founder Mike Ippolito said Robinhood’s decision to launch BTC futures reinforces his prediction that the brokerage will rival Coinbase as a top crypto trading platform by the end of 2025. 

Futures contracts are standardized agreements to buy or sell an underlying asset at a future date. They play a critical role in hedging strategies for institutional investors. Futures are also popular for speculation because they allow traders to double down on directional bets with leverage.