Robinhood Stock Surges Over 11x S&P 500 in Past Year, Driven by Crypto Expansion

Menlo Park, CA – Robinhood Markets Inc. ($HOOD) has demonstrated significant market outperformance over the past year, with its stock price appreciating more than eleven times the returns of the S&P 500 index. This strong performance comes amidst a broader surge in the cryptocurrency market, a key area of expansion for the trading platform.

A recent tweet by Marc Shawn Brown, a social media commentator, claimed Robinhood had "outperformed the S&P 500 by over 30x in the past year," adding that "Crypto stocks are eating TradFi alive." While Robinhood's growth is substantial, market data indicates its stock has rallied approximately 170-177% year-to-date in 2025, compared to the S&P 500's one-year return of around 14.83% as of August 22, 2025. This translates to an outperformance closer to 11 to 12 times, rather than 30 times.

Robinhood's robust performance is largely attributed to its aggressive expansion into the cryptocurrency sector. The company recently completed its acquisition of global cryptocurrency exchange operator Bitstamp, significantly broadening its licensing and registration footprint worldwide. This move is aimed at bolstering its enterprise services, lending, and staking infrastructure.

Further driving its crypto-centric strategy, Robinhood has rolled out tokenized stocks and exchange-traded funds in the European Union, including derivatives linked to private companies like OpenAI and SpaceX. The platform has also enhanced its U.S. crypto offerings with 24/7 trading and staking for major cryptocurrencies like Ethereum and Solana, alongside features designed for advanced investors.

The broader cryptocurrency market has experienced a significant upturn, with its total market capitalization growing substantially in 2024 and continuing into 2025, partly fueled by the approval of spot Bitcoin and Ethereum ETFs. This institutional adoption and increased regulatory clarity, particularly following shifts in U.S. political sentiment towards crypto, have created a more favorable environment for crypto-focused companies. Despite historical volatility, the digital asset space is increasingly integrating with traditional finance, reflecting a maturing market.