Kraken Reports Dip in Adjusted Earnings for Q2 2025

This dip was likely due to macroeconomic pressures and a deliberate focus on long-term growth over short-term profits. Certain key metrics like trading volume, platform assets, and user accounts all saw double-digit growth, as Kraken expanded its product suite to include US equities, FX perpetual futures, and tokenized blue-chip stocks through its new xStocks initiative. 

Meanwhile, Robinhood’s crypto revenue soared 98% to $160 million, boosted by its aggressive push into real-world asset (RWA) tokenization. CEO Vlad Tenev explained more about the firm’s ambition to lead the RWA space, and pointed to Robinhood’s massive user base and infrastructure as competitive advantages. Robinhood recently launched its Robinhood Chain in Europe and began issuing equity-like tokens for private companies, though regulatory scrutiny has already emerged. Despite challenges, both firms are betting big on the convergence of traditional and digital finance.

Kraken Earnings Slide

Kraken reported $411.6 million in revenue for the second quarter of 2025, which was an 18% increase compared to the same period last year. Despite the revenue growth, the exchange saw a 7% decline in adjusted earnings, which fell to $79.7 million from $85.5 million in Q2 2024. 

The company attributed this dip in adjusted earnings partly to broader macroeconomic uncertainties, including the impact of US tariffs. However, Kraken also explained that it is currently in “Build mode,” and is prioritizing long-term growth over short-term profitability.

Kraken Q2 highlights (Source: Kraken)

The crypto exchange posted impressive gains across several operational metrics. Trading volume climbed 19% year-over-year to $186.8 billion, while assets held on the platform surged 47% to $43.2 billion. Funded accounts also rose by 37%, reaching 4.4 million. Kraken’s share of the stablecoin-to-fiat market grew quite a bit, and raised from 43% to 68%.

Kraken’s second-quarter report was shared as the company seeks to raise $500 million at a $15 billion valuation ahead of a potential public listing in 2026. Additionally, the firm introduced a series of new products to diversify beyond crypto trading. This includes the rollout of US equities trading for most US-based users via its app, enabling integrated management of both stocks and digital assets.  Kraken also launched 24/7 FX perpetual futures in April and unveiled xStocks in June—which is a collection of tokenized blue-chip equities and ETFs.

Announcement from Kraken

The company’s foray into tokenized equities is part of a trend that forms part of the growing convergence between traditional finance and the crypto sector. Kraken is not alone in this pursuit. 

Bybit recently announced partnerships for similar offerings, and Coinbase is actively seeking SEC approval to list tokenized stocks, Traditional brokers are also getting involved. eToro revealed plans to tokenize the 100 most popular US-listed stocks and ETFs as ERC-20 tokens on Ethereum. 

Robinhood Crypto Revenue Surges 

Meanwhile, Robinhood’s crypto revenue surged 98% year-over-year to $160 million in the second quarter of 2025, driven by a sharp rise in trading activity and the company’s growing focus on real-world asset tokenization. Total net revenue increased 45% to $989 million, while net income more than doubled to $386 million. 

Despite the strong performance, shares of the trading platform retraced slightly in after-hours trading. Crypto trading volumes rose 32% to $28 billion as the crypto market cap climbed to $3.36 trillion.

Robinhood Q2 2025 financial results (Source: Robinhood)

CEO Vlad Tenev shared some details about the company’s long-term commitment to tokenizing real-world assets, and called it the most important innovation in the industry over the past decade. He said that Robinhood aims to unlock access to hard-to-reach assets like private shares, venture capital funds, and real estate—sectors that are traditionally out of reach for retail investors due to regulatory and liquidity barriers. This vision is central to Robinhood’s strategy after its recent $200 million acquisition of Bitstamp, which is expected to play a key role in the rollout of its tokenization platform.

The company also recently launched Robinhood Chain, a layer-2 blockchain focused on stock tokenization in Europe, and has already begun issuing private equity tokens resembling shares in companies like OpenAI and SpaceX. Since unveiling the platform in Cannes, France, Tenev said there’s been a surge of interest from developers eager to tokenize their own assets or participate in the broader RWA movement. 

However, this rapid expansion raised some important regulatory questions. Authorities in Lithuania reportedly launched an inquiry into the tokenized products, and OpenAI publicly distanced itself from the equity-like tokens circulating under its name.

Despite the scrutiny, Tenev argued that Robinhood is uniquely positioned to lead the tokenization market, especially due to its 25 million US users and $1 trillion in assets under custody. He pointed out that no other firm—either in traditional finance or the crypto-native world—matched Robinhood’s reach or ambition in this space. While competitors focus on building chains for speculative trading, Tenev believes the opportunity in tokenizing real-world assets is largely untapped.

Although Ethereum currently dominates the RWA landscape with close to $7 billion in tokenized assets, and ZKsync Era trails behind with $2.4 billion, Tenev sees Robinhood’s user base and regulated infrastructure as key differentiators that could help it outscale public blockchain platforms.