Robinhood is seeking to penetrate the crypto market and improve its employees energy, in accordance with CEO Vlad Tenev.
The disclosure was made in a hearth chat session posted on the corporate’s YouTube account. Tenev fielded questions from prospects on their development plans.
Crypto Wallets on the Horizon
In response, Tenev mentioned the corporate was actively wanting into increasing its cryptocurrency enterprise. This would come with including new buying and selling pairs for the rapidly-expanding crypto business. He additionally mentioned they plan on beefing up their employees capability within the coming months to assist their development.
One other doable roll-out from the web stockbroking platform may very well be a cryptocurrency pockets for digital asset storage.
Tenev was fast to level out this can be a gradual course of. He mentioned the dealer was not in a rush to deliver this service to market, and it could take some time earlier than growth picks up.
Zero-fee buying and selling platform Robinhood permits prospects to buy cryptocurrencies on its app. The tech firm is house to hundreds of thousands of shoppers, the vast majority of who’re millennials.
Robinhood prospects should buy well-liked digital belongings like Bitcoin and Ethereum on the platform. Nevertheless, they’ll’t deposit or switch their cryptocurrencies.
Regardless of this handicap, Robinhood has been in a position to maintain its personal within the crypto market. In a February launch by the firm, Robinhood introduced a 6 million development in its crypto person base, up from 401,000 in the identical month final 12 months.
The corporate additionally posted a median transaction measurement of $500 for every new person.
In talking about increasing its seven tradable cash to extra, the Robinhood CEO mentioned the corporate is presently trying to find recent minds to assist its rising buyer wants. Tenev mentioned the elevated workforce would cater to such points as elevated community site visitors and make sure the platform retains operating throughout peak transactions.
Robinhood Will get Dangerous Publicity
Exterior of its spectacular numbers, 2021 has been a tumultuous 12 months for Robinhood. And all of it begins and ends with the GameStop saga. On Jan. 28, Robinhood froze traders’ trades for struggling online game retailer GameStop.
The choice was taken after the favored subreddit neighborhood members of r/WallStreetBets started shopping for up GameStop shares to spite huge hedge funds who shorted it. The shopping for frenzy noticed Robinhood prohibit the buying and selling of GameStop, AMC, and Nokia shares.
Following this determination by the corporate, a number of lawmakers criticized the transfer, together with Rep. Alexandria Ocasio-Cortez, who known as for Congressional oversight. Affected traders additionally filed a class-action lawsuit in opposition to the corporate bringing extra unhealthy publicity to the brokerage agency.
“We’re doing as a lot as we will to get the true story on the market. I feel there may be going to be some documentaries and a few films that may assist blast it out to a wider viewers. However a part of it’s additionally like individuals love these tales and the faux, easy story is extra attention-grabbing than type of just like the true, boring sophisticated story,” Tenev defined.