Robinhood Acquires WonderFi for CAD 250M to Expand Canadian Crypto Presence

Robinhood Markets has announced a significant move in its international expansion strategy with the acquisition of WonderFi, a prominent Canadian digital asset platform. The deal, valued at approximately CAD 250 million, or around USD 180 million, will see WonderFi's shares sold at CAD 0.36 per share. This acquisition is a strategic step for Robinhood to strengthen its presence in the Canadian market, which has shown rapid adoption of cryptocurrency.

WonderFi operates two of Canada's oldest regulated crypto exchanges, Bitbuy and Coinsquare, which together custody over CAD 2.1 billion in assets. Following the acquisition, WonderFi will continue to operate its products, with its team merging with Robinhood Crypto to focus on the Canadian market. This union aims to leverage Robinhood's global experience and WonderFi's local expertise to enhance services such as crypto trading, staking, and custody.

Johann Kerbrat, the GM of Robinhood Crypto, expressed optimism about the deal, stating that WonderFi's offerings cater to both beginner and advanced crypto users. He emphasized Robinhood's goal of providing innovative and user-friendly products in Canada through this partnership. The company, known for making financial services more accessible in the United States, has already rolled out crypto services across several countries in the European Union. This acquisition will further expand Robinhood's global footprint, with the company financing the deal from its existing cash reserves.

Dean Skurka, the president and CEO of WonderFi, welcomed the deal, highlighting the shared goal of making crypto accessible to all. He noted that joining Robinhood would enable them to enhance their products further. Bobby Halpern, the executive chairman of WonderFi, termed the deal as a 'launchpad' for Robinhood's expansion in Canada. Robinhood already has a strong customer base in Canada, with a head office established in Toronto in 2024, employing over 140 people in roles such as technology and infrastructure.

The acquisition is subject to regulatory approvals, court consent, and the approval of WonderFi's shareholders. The deal is anticipated to close in the second half of 2025. Concurrently, Robinhood is exploring new opportunities in Europe, with reports indicating potential plans to launch a blockchain-based platform for retail investors to trade U.S. stocks. While no official date or partner has been announced, negotiations are underway, with the company considering blockchain networks such as Arbitrum and Solana.

In summary, Robinhood's acquisition of WonderFi is a strategic move that underscores the company's ambition to go global and expand its crypto offerings. With robust plans in Canada and Europe, Robinhood is poised to shape the future of digital finance, making it more accessible and innovative for users worldwide.