# $RNBW Token Holder Letter 2026 *For Discussion Purposes Only. | Rainbow Foundation* --- Fellow $RNBW holders, Many of you may know Rainbow as one of the most popular Ethereum wallets that has been the easiest way to onboard users into crypto. We think that the stars are aligning to make the size of Rainbow's opportunity larger than ever — building onchain Robinhood. ## Our Opportunity We believe that the proliferation of stablecoins has just begun and all of finance is migrating onchain. The products and companies we are actually competing with are closer to banks, brokerages, and fintechs, not other crypto products. We are crypto native and believe that we can build the onchain versions of these existing businesses before they themselves can move onchain. ## Product & Operational Highlights from 2025 1. We rebuilt large parts of both the team and the code base to better match our internal UX expectations. Rainbow v2 was rolled out over the summer and included improvements such as real time balances, real time pricing updates, and candlestick charts. 2. We added two new material revenue lines with perps on Hyperliquid and prediction markets on Polymarket. Both are intended to help make Rainbow's revenue less cyclical. Rainbow has peaked at #2 on the Hyperliquid builder leaderboard. Perps were our #1 revenue line in December 2025. 3. We added support for 17 new chains, supporting a total of 30 different EVM chains today. 4. Team is one of the best leading indicators of future output. We began the year as a team of 16. Over the course of 2025, we added 14 new team members and turned over six team members to end the year with 24 heads. The breakdown is 7 backend, 7 frontend (mobile, browser extension), 1 design, 1 product, 1 QA, 2 support, 1 marketing, 1 data, and 3 management. Our team has skewed more senior with deep experience in crypto from companies such as Coinbase, Phantom, Uniswap, Trust Wallet, Zerion, ZeroHash, MoonPay, Kraken, Ondo, and OpenSea. We're already seeing the increase in velocity and product quality from the investment in our team in 2025. If you're familiar with Rainbow's product in the past but haven't used it recently, we'd encourage you to give it another shot. [rainbow.me/download](https://rainbow.me/download) --- ## Metrics Dashboard: January 2026 ### LTM (Last Twelve Months) Revenue | Month | Swaps | Other Transaction Based Revenue | Perps | Prediction Markets | Total | |-------|------:|------:|------:|------:|------:| | Feb-25 | $168 | $20 | — | — | $187 | | Mar-25 | $146 | $4 | — | — | $150 | | Apr-25 | $107 | $5 | — | — | $112 | | May-25 | $140 | $5 | — | — | $145 | | Jun-25 | $142 | $3 | — | — | $145 | | Jul-25 | $217 | $13 | — | — | $229 | | Aug-25 | $227 | $5 | — | — | $232 | | Sep-25 | $189 | $9 | $4 | — | $201 | | Oct-25 | $300 | $15 | $56 | — | $371 | | Nov-25 | $101 | $8 | $72 | — | $181 | | Dec-25 | $58 | $6 | $71 | $4 | $139 | | Jan-26 | $100 | $6 | $71 | $15 | $191 | *Values in thousands ($K). Totals approximate from chart data.* **Commentary:** Swaps have historically been the core business of Rainbow, but that is rapidly diversifying. We are working to add one large revenue line each quarter that comprises Robinhood's business today. Q3 2025 was perps on Hyperliquid, which exceeded swaps revenue in December 2025. Q4 2025 saw the introduction of prediction markets on Polymarket on December 23, 2025. Jan 2026 is a good example of our diversifying revenue mix between swaps (~52% of Jan 2026 revenue), perps (~37%), and prediction markets (~8%). ### LTM (Last Twelve Months) MAU | Month | MAU | |-------|----:| | Feb-25 | 156,235 | | Mar-25 | 140,684 | | Apr-25 | 112,415 | | May-25 | 121,686 | | Jun-25 | 120,536 | | Jul-25 | 120,363 | | Aug-25 | 96,851 | | Sep-25 | 159,311 | | Oct-25 | 186,529 | | Nov-25 | 180,198 | | Dec-25 | 175,610 | | Jan-26 | 209,677 | **Commentary:** Users can have multiple wallets. We view the most accurate usage representation of our business to be MAUs, which are tracked offchain (instead of looking at onchain wallet counts). ### LTM (Last Twelve Months) "Share of Wallet" | Month | Trading Volume in Rainbow | Trading Volume Outside Rainbow | Total | Share of Wallet (%) | |-------|------:|------:|------:|------:| | Jan-25 | $41 | $224 | $265 | 15.5% | | Feb-25 | $23 | $120 | $143 | 15.9% | | Mar-25 | $19 | $99 | $117 | 15.8% | | Apr-25 | $13 | $74 | $88 | 15.2% | | May-25 | $18 | $68 | $86 | 21.2% | | Jun-25 | $20 | $63 | $83 | 23.9% | | Jul-25 | $28 | $100 | $129 | 21.8% | | Aug-25 | $29 | $154 | $184 | 16.0% | | Sep-25 | $24 | $138 | $162 | 14.5% | | Oct-25 | $38 | $261 | $299 | 12.7% | | Nov-25 | $14 | $94 | $108 | 13.0% | | Dec-25 | $7 | $64 | $70 | 9.6% | | Jan-26 | $13 | $69 | $82 | 16.0% | *Values in millions ($M).* **Commentary:** "Share of Wallet" looks at all of the onchain trading volume for active Rainbow users in a given month and looks at how much of the swap volume is captured by Rainbow versus how much of the trading volume occurs outside of Rainbow. Our perspective is the number one driver is fee sensitivity, which we plan to try to address with our staking program. In 2025, Rainbow users swapped ~$1.7bn, of which only ~$273mm was captured in Rainbow (representing ~16% share of wallet for 2025). --- ## Three Key Areas of Focus for 2026 I have three key areas of focus this year. ### (1) $RNBW - $RNBW TGE was on February 5, 2026, but $RNBW is still one of my most important responsibilities as CEO. - Continue to integrate the token into the product, such as staking. - Add missing spot and perps listings on all CEXs we want $RNBW to be tradable on. - Attract and build out the longer-term token holder base. - Don't let token distract us from the focus of building a successful, profitable business though. *"In the short run, the market is a voting machine, but in the long run, it is a weighing machine."* ### (2) Our 2026 product investments are primarily in areas that have mainstream appeal. We believe that 2026 is the year both Rainbow and crypto go more mainstream. We are investing our product resources in areas that have wider appeal and clear mental models in web2. Examples include tokenized stocks, cash balance that's a high yield savings account, and DCA. By the end of 2026, you should be able to send your paycheck to Rainbow. Rainbow should cover all of the day to day personal finance and investing you want to do. You can off-ramp instantly, but you won't need to. There are parts of the product we need to fix to get there. - **On-ramp / off-ramp:** We have to make it easier to get funds onchain and offchain. Our team is currently working on delivering a fiat to stablecoin on-ramp that has parity with CashApp. On-ramp $100, get $100 in stables instantly. - **Remove gas.** We already sponsor gas in a number of places (airdrop claims, $RNBW rewards, prediction markets). We want Rainbow users to be able to use the full functionality of RNBW with only USDC — no ETH or other gas tokens required. - **Privacy.** No fintech product broadcasts your net worth every time you use it. - **Seed phrases.** Seed phrases can't be the sole solution for everyday users. ### (3) Marketing & Growth Function - 2025 saw us rebuild engineering, product, and design. For 2026, the most important function to build out is marketing & growth. - Rainbow's DNA has always been a product-driven company, and our marketing and growth investments shouldn't deviate. - Over the past year, we've become very dialed into unit economics, contribution margin, and LTV. We have a very clear picture on where we should be subsidizing and incentivizing product led growth. --- ## Revenue Lines We shipped two new material revenue lines in H2 2025: perps on Hyperliquid and prediction markets on Polymarket. Why are revenue lines important to discuss with token holders? Firstly, revenue makes the Rainbow business more valuable, and the Rainbow Foundation is the largest shareholder in Rainbow. Secondly, revenue lines allow us to bring fees down in other places. Without a diverse revenue mix, we wouldn't be in a position to subsidize experiences for users or offer attractive incentives. 1. Make cash balance (with yield) the default experience for all Rainbow users. 2. Issue or partner on a credit card 3. Instant fiat to crypto off-ramp. Subsidize funds moving onchain. Only charge fees when funds move offchain. 4. Tokenized stocks (and equity perps) 5. Solana support Thank you for your support and continued usage of Rainbow. --- ## Thank you. Additional materials are available at [investors.rainbow.me](https://investors.rainbow.me) Please direct additional questions to [investors@rainbow.me](mailto:investors@rainbow.me)