You began discussions with Robinhood in June 2024. How far along is the sale process?
We are making progress on the regulatory approval process, which is particularly complex in our case as Bitstamp is overseen by some fifty regulators around the world. Each authority has to approve the change of control. So it's a long process: each regulator conducts its own investigation.
In practical terms, what will Bitstamp enable Robinhood to do? Are you becoming their bridgehead for Europe?
That's a good way of summing it up. There were several reasons why Robinhood decided to do this deal. Firstly, our portfolio of licences outside the US. We hold around fifty, spread across the United States, the United Kingdom, Europe and soon the Asia-Pacific region. This regulatory network means they can look forward to rapid international expansion. The second point is our development in derivatives. We obtained a MiFID licence last October.
Third strategic lever: tokenisation, a subject we are actively exploring and which could eventually be exploited by Robinhood. Finally, our customer positioning. Robinhood has historically had a very retail base, whereas Bitstamp has developed a real institutional culture. Together, we cover the whole spectrum. Yes, we are their gateway to Europe, but we bring them much more.
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Robinhood launched its application in Europe at the end of 2023 without making much noise. Does your acquisition explain this caution?
I can't speak for them, but their priority clearly remains the United States. With over 25 million customers and monthly volumes in the billions of dollars, the US market is central. That said, the proposed acquisition of Bitstamp has undoubtedly strengthened their international strategy, particularly in Europe and Asia-Pacific. But it's important to remember that today, we remain two totally independent entities. Robinhood is listed on the US stock exchange, with its own management team. For our part, we also operate autonomously. Product and market synergies will only really be able to start once the change of control has been finalised.
"These are two strong brands, with very distinct DNAs" Will the Bitstamp brand remain or be absorbed by Robinhood?
No definitive decision has been taken yet. Discussions are underway on brand positioning by region, market segment and product. These are two strong brands with very distinct DNAs. These strategic discussions will continue once the acquisition is finalised.
You provide a white label solution to Revolut. With the launch of their own platform, Revolut X, how is the relationship evolving?
Our white label model allows players like Revolut to offer crypto services without having to build the entire infrastructure. We provide them with liquidity, custody and our expertise built up over almost 14 years. Our partnership is solid and long-term, and we continue to support them. The more Revolut develops its business, the more opportunities it creates for Bitstamp. It's a win-win relationship.
The white label market is highly competitive in Europe, with Bitpanda working with the likes of Lydia and N26. How do you differentiate yourself?
The whole sector is competitive, but on the white label, the real difference is at regulatory level. Depending on the licences available, each player can target certain markets and not others. So it's not so much a question of technological differences as local compliance. We're particularly excited because several large global customers are currently integrating with Bitstamp - but we can't name them publicly yet.
What's the status of your MiCA licence?
Bitstamp Europe has been established in Luxembourg for a long time. We obtained our first payment licence there in 2016, and have been registered as a PSAN (or VASP) for several years. Today, our MiCA licence application is in the final stages of review. If all goes well, we should obtain it this quarter. At the same time, we have other applications in progress in other parts of the world. With the acquisition by Robinhood, that would make three major pieces of good news for our customers.
"The objective is clear: to replicate in Asia what we have built in Europe" Asia has long been a blind spot for Bitstamp. Will this change?
Our business in Asia-Pacific is real and growing. We've had a team in Singapore for several years and are actively working on obtaining a licence there. It's going to take some time, but this will allow us to really accelerate. We already have active customers, but this authorisation would open new doors, especially after the takeover. The objective is clear: to reproduce in Asia what we have built up in Europe, with a comprehensive and segmented offering.
Why did you choose Luxembourg as your European base?
It has to do with Bitstamp's history. Founded in 2011 in Slovenia by two young entrepreneurs, the company was looking to set up in a country where it could be regulated. In 2014, when I joined Bitstamp, there were ten of us. After exploring several options, Luxembourg emerged as the only truly open jurisdiction at the time. We obtained our payment licence there in 2016. Since then, it has become our European heartland.
The country has several advantages: a serious and proactive regulator, an international ecosystem, the presence of players like PayPal, Bitflyer and Zodia, and a central geographical location. It is a pro-blockchain state that has always supported our development.
Robinhood operates in Europe via Lithuania. Will everything be transferred to Luxembourg after the takeover?
I can't comment on Robinhood's strategy. What is certain is that for Bitstamp, nothing changes. We are well established, recognised by our institutional and retail customers, and there is no reason to move.
Some Revolut shareholders would like to leave Lithuania for reasons of credibility. Is this jurisdiction a hindrance for you too?
In all the scenarios considered, Luxembourg remains Bitstamp's natural anchor for crypto activity. We are firmly established there, with all the necessary authorisations. For our institutional clients, this is a guarantee of seriousness. Quite honestly, few of them are familiar with the subtleties of each jurisdiction, but they know that we're in Luxembourg, that we're regulated, and that's enough for them. Lithuania is also a credible and dynamic jurisdiction in the EU. Whatever Robinhood chooses for its European operations, we will be well positioned.
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How would you describe your institutional footprint today?
Between 2011 and 2015, our client base was mainly retail. In 2014, we had around 20,000 customers, mostly individuals. But from 2015-2016, there was a real turning point. Institutions started to take a serious interest in cryptos. We saw the arrival of increasingly sophisticated players, encouraged by better regulation and a greater understanding of what was at stake. Today, we have 5 million customers, with a growing institutional share. The model has evolved from all-retail to a mix, or even an institutional bias.
The arrival of ETFs and the interest of family offices, asset managers and pension funds have further accelerated this transformation. Eventually, we anticipate a third phase: that of governments, which are interested in stablecoins as a reserve or monetary issuance tool. Bitstamp is well positioned, with a solid reputation, clear regulation and solutions tailored to the requirements of these institutional customers.
"We want a responsible offering, aligned with regulation and aimed at an informed public" You recently obtained your MiFID licence. How long ago exactly?
We obtained this licence at the end of October 2024, so around five to six months ago. It's an important step, because it allows us to launch derivatives on a regulated basis in Europe. It's a very regulated market, and this licence opens up many opportunities.
You obtained the MiFID licence from scratch. Why didn't you buy a company that had already been licensed, like your competitors?
We actually put together the application ourselves, from Slovenia, our home country. It took a year and a half, which is fast in this business. Some competitors preferred to acquire entities that were already regulated. But in the end, the process takes almost as long: you have to manage due diligence, changes of control, integrations, etc. Putting together the application internally enabled us to control costs and deadlines, and above all to keep control of the process. It's a strategy that has paid off.
When will your derivative products be available?
Our priority is to offer an impeccable solution that meets the highest standards. And this range of derived products will also be available on a white label basis. Our partners who already use our spot solution will be able to easily add the derivatives module, which greatly enhances their value proposition.
Will these derivatives be available to private individuals?
Yes, but not to everyone. You will need to have professional client status, as provided for in the MiFID framework. A completely novice individual will not have access. On the other hand, a qualified individual investor will be able to use these products, subject to certain conditions. It's a conscious choice: we want a responsible offering, aligned with regulations and aimed at an informed public.
Are you planning to offer them in the United States?
Not immediately. We would need specific licences in the United States, which we don't have at the moment. For the moment, we're concentrating on the European market, which is our priority. Once the acquisition is finalised, we can explore this option with Robinhood.
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