One of the most popular stock trading apps Robinhood, had made headlines once again. This time with its newest funding round of 363 million dollars. According to their official statement published on 10th of May They have also acquired a new valuation at 5.6 billion dollars. This funding round has been led by multiple investment firms like DST Global, Iconiq, Capital G, Sequoia Capital and KPCB, making Robinhood the second most valuable fintech startup in the U.S right after Stripe, the online payment company.
“I think the real ‘X factor’ that made investors even more excited about being a part of Robinhood was seeing our ability to, with a very, limited workforce, to ship three brand new products in these last six months, while maintaining and growing one of the largest brokerages in the U.S.” – said Baiju Bhatt, Robinhood’s co-founder and co-CEO.
These kinds of moves had bringed as Robinhood has stated 2 more million users to the platform totaling at 4 million users at the moment.
Robinhood had been a unicorn in the brokerage scene with its zero commission trading when it first started offering stocks and options trading and later adding the option to also trade Bitcoin and other cryptocurrencies.
Robinhood Crypto launched this February, and is available in only 10 U.S states at the moment but there plans to expand to the whole country as fast as they get the appropriate licenses for every state.
The CEO Baiju Bhatt is very confident that they will very soon become if not the first, at least break among the top of the most well known cryptocurrency trading platforms stating in his own words:
“We expect by the end of the year to be either the largest or one of the largest crypto platforms out there. But we also really feel we’ll have the absoulte best experience for investing in crypto as well – from having a large variety of coins available to a more favorable cost structure-mainly no commissions- to just quality product.”
Although Robinhood has aspirations to become one of the biggest players in the crypto world, in the end it will have to face all of the big banks of Wall Street. They seems to have finally started to catch up on the idea of crypto trading and some of them like Goldman Sachs and the New York Stock Exchange have announced that they will open cryptocurrency trading desks and planing to offer Bitcoin swap contracts in a very near future.