Robinhood Joins S&P 500, Strategy Misses Out Amid Backpack EU Launching Regulated Perpetual Futures

Robinhood Markets (HOOD) has been added to the S&P 500 index, replacing Caesars Entertainment, effective September 22, 2025. This inclusion marks a significant milestone for the fintech sector, reflecting Robinhood’s evolution from a retail trading upstart to a major player in U.S. financial markets.

The announcement, made by S&P Dow Jones Indices, led to a 7.3% surge in Robinhood’s stock price in after-hours trading, with shares climbing past $108, contributing to a year-to-date gain of over 150%. The company’s market capitalization is approximately $91.5 billion, bolstered by its diversified offerings, including commission-free stock trading, cryptocurrency investing, and recent expansions like tokenized U.S. stocks and ETFs in Europe, crypto perpetual futures in the EU, and staking for U.S. customers.

This move follows Coinbase’s inclusion in May 2025, signaling growing institutional acceptance of crypto-focused fintechs amid a friendlier regulatory environment.

Strategy (formerly MicroStrategy), despite meeting S&P 500 eligibility criteria with a $95 billion market cap and strong Q2 2025 performance, was not included.

The S&P committee’s decision, which considers factors like sector balance and financial stability beyond strict criteria, likely reflects caution toward Strategy’s Bitcoin-centric treasury strategy, which carries unique risks. Strategy’s stock fell nearly 3% in after-hours trading, erasing daily gains.

While inclusion would have driven an estimated $20–30 billion in passive inflows from index-tracking funds, some supporters argue Strategy’s Bitcoin focus makes it less reliant on S&P validation. The company remains a candidate for future rebalancing if its profitability and market position hold.

Backpack EU Launches Regulated Perpetual Futures Platform

Backpack EU has launched as one of Europe’s first fully regulated cryptocurrency exchanges offering perpetual futures trading, licensed under the MiFID II framework and regulated by the Cyprus Securities and Exchange Commission (CySEC).

Following its acquisition of FTX EU, Backpack EU offers over 40 trading pairs with up to 10x leverage, aiming to provide a compliant and transparent trading environment for retail and institutional traders. The platform seeks to rebuild trust in the European crypto market, leveraging its regulatory status to differentiate itself in a competitive landscape.

Inclusion in the S&P 500 typically triggers significant buying from index funds and ETFs tracking the index, potentially adding $20–30 billion in inflows to Robinhood’s stock. This could further boost its share price, already up over 150% year-to-date, enhancing its market cap of ~$91.5 billion.

Joining the S&P 500 signals institutional acceptance of Robinhood’s business model, reinforcing its position as a leading fintech platform. This could attract more conservative investors and strengthen partnerships, especially in crypto and international markets.

Robinhood’s inclusion, alongside Coinbase’s earlier addition, highlights the growing integration of fintech and crypto-focused companies into mainstream finance. This could pave the way for other innovative firms, provided they meet financial and regulatory benchmarks.

The increased visibility and capital could accelerate Robinhood’s expansion plans, such as tokenized assets in Europe, crypto perpetual futures, and staking services, positioning it to compete with traditional brokers and crypto exchanges.

The 3% drop in Strategy’s stock post-announcement reflects investor disappointment, as inclusion would have driven significant passive inflows. However, its $95 billion market cap and Bitcoin-focused strategy may still attract speculative and crypto-aligned investors.

The S&P committee’s decision suggests caution toward Strategy’s heavy Bitcoin exposure, which introduces volatility and regulatory risks not typical of S&P 500 constituents. This could signal to investors that Strategy’s model is viewed as less stable for broad market indices.

Strategy remains eligible for future inclusion, but it may need to diversify its treasury strategy or demonstrate sustained profitability to align with S&P’s sector balance preferences. Its exclusion could temper short-term momentum but may not deter long-term Bitcoin bulls.

The snub underscores the crypto market’s uneven acceptance in traditional finance. While Robinhood and Coinbase benefit from diversified offerings, Strategy’s Bitcoin-centric approach may face higher scrutiny until regulatory clarity improves.

Backpack EU’s MiFID II-compliant platform positions it as a pioneer in offering regulated perpetual futures in the EU, a region with stringent crypto regulations. This could set a benchmark for compliance, encouraging other exchanges to pursue similar licensing.

By leveraging its CySEC regulation and FTX EU acquisition, Backpack EU addresses trust issues stemming from past crypto exchange failures. This could attract both retail and institutional traders seeking safer platforms, potentially increasing EU market share.

Offering 40+ trading pairs with 10x leverage in a regulated environment differentiates Backpack EU from unregulated competitors. This could pressure other exchanges to innovate or seek licenses, reshaping the EU crypto trading landscape.

The launch aligns with growing institutional interest in crypto derivatives, as seen with Robinhood’s similar offerings. It may encourage further integration of crypto into traditional financial systems, especially if EU regulators continue to support compliant platforms.

While regulated, Backpack EU must navigate high compliance costs and competition from established players like Binance or Kraken. Its success will depend on user adoption, platform reliability, and maintaining regulatory goodwill amid evolving EU crypto policies.