Robinhood Chain Outearns Ethereum in First Quarter, ARK Invest Says

Robinhood Chain Surpasses Ethereum in Third-Quarter Network Revenue

Robinhood Chain generated roughly $51 million in network revenue during its first quarter of operation, outpacing Ethereum at approximately $41 million for the same three-month period, according to an ARK Invest report cited by es.finance.yahoo.com. The newly launched blockchain processed nearly $65 billion in decentralized exchange volume, establishing itself as the fourth-largest network by DEX volume in the firm’s data.

ARK Invest Reports Broad Blockchain Revenue Growth and Ethereum Declines

Network revenue across all blockchains tracked in the report rose about 24% from the previous quarter to reach approximately $349 million. The total remains about 47% lower compared to the previous year, though ARK indicated that this quarter marked the first increase in 5 quarters, attributing the rise to the recovery of Solana and the debut of Robinhood Chain. Ethereum network revenue dropped about 35% quarter-over-quarter, while its decentralized exchange volume fell roughly 27%, alongside a drop in Base’s volume of around 17%. ARK noted that trading volume shifted toward new places such as Robinhood Chain. Ethereum also saw its share of tokenized real-world assets slip from about 50% at the end of June to 44%, though it still holds the largest total share at roughly $16.7 billion, according to coinmagnetic.com.

Robinhood Chain Relies on Ethereum Settlement and Faces Gas Adjustments

Robinhood opened the public mainnet for the blockchain on July 1, following a testnet period that launched in February. The network settles transactions on Ethereum and uses ETH as its gas token, meaning Ethereum continues to collect a portion of the generated fees. Tokenized stocks accounted for about $13.7 billion of that trading, placing it just behind BNB Chain, which hosted roughly $16.5 billion in tokenized stock trading. ARK Invest cautioned that these initial revenue figures may not persist because a recent gas increase on Robinhood Chain will eliminate the elevated fee income previously driven by network congestion, with the firm stating that No esperamos que Robinhood Chain siga mostrando cifras de ingresos tan impresionantes, ya que un reciente aumento en el gas de Robinhood Chain eliminará las altas comisiones derivadas del cobro por congestión.

Coinbase Precedent and Upcoming Earnings Set the Stage for October Disclosures

Coinbase reported in July that sequencer fees for its Base network fell about 11% from the first quarter to $47.4 million, with Chief Financial Officer Alesia Haas linking the decline to lower instant transfer activity and reduced Base income. For Robinhood, the official financial contribution of its blockchain will face scrutiny on October 27, when the company releases its third-quarter earnings report, which will cover the first full quarter of network operations. In its second-quarter filing with the Securities and Exchange Commission, available via the SEC EDGAR system, Robinhood stated that its revenue generation depends heavily on user adoption and developer activity, explaining that Nuestra capacidad para generar ingresos con Robinhood Chain depende significativamente del nivel de adopción y la actividad de los desarrolladores en la red.

Questions About Network Sustainability and Financial Reporting