Robinhood Acquires WonderFi for $179M to Expand Canadian Crypto Presence
Robinhood Markets announced on Tuesday, May 13, 2025, that it will acquire Canadian crypto firm WonderFi for C$250 million ($179 million) in an all-cash deal, marking a significant step in the popular trading platform's global expansion strategy. According to Cointelegraph, the acquisition values WonderFi at 36 Canadian cents per share, representing a 41% premium over its previous closing price and a 71% premium compared to its 30-day volume-weighted average trading price.
WonderFi operates two of Canada's longest-standing regulated crypto trading platforms, Bitbuy and Coinsquare, which manage over C$2.1 billion in assets under custody. "WonderFi has built a formidable family of brands serving beginner and advanced crypto users alike, making them an ideal partner to accelerate Robinhood's mission in Canada," said Johann Kerbrat, Senior Vice President and General Manager of Robinhood Crypto, in the company's official announcement.
Expanding Robinhood's Global Footprint
This acquisition represents Robinhood's continued strategy to grow beyond its U.S. roots and develop a global financial ecosystem. The company established its Canadian headquarters in Toronto in 2024 as an infrastructure engineering hub, already employing approximately 140 people in the country according to Reuters.
WonderFi's team, including CEO Dean Skurka, will join Robinhood's operations, bringing valuable local market expertise. "WonderFi and Robinhood are united in our visions of making crypto accessible and bringing more people into the crypto space," said Skurka, expressing enthusiasm about joining forces with the U.S.-based trading platform.
The deal follows Robinhood's $200 million acquisition of European exchange Bitstamp in 2024, showing a pattern of strategic international expansion through targeted acquisitions. TechCrunch reports that the transaction is expected to close in the second half of 2025, pending regulatory approvals, court approval, and WonderFi shareholder consent.
WonderFi's Strong Position in the Canadian Market
WonderFi has established itself as a dominant player in the Canadian crypto landscape through several strategic acquisitions. Since 2022, the company has consolidated several Canadian crypto trading platforms, including Bitbuy, Coinberry, Coinsquare, CoinSmart, and Bitvo, representing nearly half of all regulated exchanges in Canada according to BetaKit.
The company currently serves approximately 1.7 million registered users across its platforms, with its trading volume showing robust growth. In 2024, WonderFi's platforms processed C$3.57 billion in crypto trading volume, representing a 28% increase year-over-year as noted by Coindoo.
Despite this strong operational performance, WonderFi's stock has declined 13.6% on the Toronto Stock Exchange so far in 2025, giving it a pre-acquisition market capitalization of approximately C$163.9 million.
Part of a Broader Crypto M&A Wave
Robinhood's acquisition of WonderFi is part of a larger trend of consolidation in the cryptocurrency industry in 2025, spurred by more favorable regulatory conditions, particularly in the United States under President Donald Trump's administration. Major deals announced this year include:
- Coinbase's $2.9 billion acquisition of derivatives exchange Deribit, completed earlier this month according to CNBC.
- Ripple's $1.25 billion purchase of prime brokerage firm Hidden Road announced in April, one of the largest deals in the crypto company's history as reported by Fortune.
- Kraken's acquisition of futures trading platform NinjaTrader, which was completed on May 2 and expands the exchange's customer base while enabling it to offer crypto futures and derivatives in the U.S.
"The crypto industry, which is staging a comeback under U.S. President Donald Trump, has seen a flurry of tie-ups in 2025," notes Reuters, highlighting how changing regulatory landscapes are driving strategic moves by major players in the space.
Market Implications and Future Outlook
This transaction positions Robinhood to capture a significant share of the growing Canadian crypto market. Canada has emerged as an attractive market for cryptocurrency businesses due to its relatively clear regulatory framework and growing user base.
Analysts from Bernstein predict that Robinhood's share price could reach $105 by May 2026, with its crypto efforts and tokenized equities initiatives expected to fuel this growth according to DL News. The company faces increased competition from both traditional financial players like Morgan Stanley and industry-native firms like Kraken, making strategic acquisitions even more vital to its growth strategy.
For WonderFi investors, the acquisition represents a substantial premium over the company's recent trading price, providing an opportunity to exit at favorable terms after the stock's decline in 2025. For Canadian crypto users, the acquisition may bring Robinhood's user-friendly interface and low-cost trading model to the local market, potentially increasing competition and improving service offerings.
The deal comes at a time when interest in cryptocurrency has surged, with Bitcoin reaching new heights in 2025 despite economic uncertainty and trade tensions globally. According to Research and Markets, the crypto market entered 2025 with strong momentum, driven by regulatory, institutional, and cyclical factors.
As consolidation continues across the cryptocurrency industry, we can expect further strategic acquisitions as companies position themselves for the next phase of market development in an increasingly favorable regulatory environment.
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