- Robinhood is focusing on digital currencies as it expands its crypto functions on its platform.
- While users are not able to transfer digital assets out of the account, customers have been looking to trade on crypto exchanges instead.
- The popular trading company is expected to go public later this week.
Robinhood is aiming to introduce a new cryptocurrency function that its users have been requesting – digital asset wallets.
Robinhood to introduce new features to rival crypto exchanges
Vladimir Tenev, the CEO of Robinhood, recently revealed on its roadshow that the trading platform has been working toward providing its users additional functions for its crypto customers. Tenev acknowledged that the firm’s users are demanding digital asset wallets.
While the CEO did not provide a timeline of when the new feature would be released, Tenev said that a crypto wallet is coming as soon as possible. He added that other new features are also expected in the future and that the firm is working on introducing these functionalities safely.
Currently, users of the trading platform do not have the ability to transfer cryptocurrencies out of their accounts, which has incentivized users to move to exchanges like Coinbase. Tenev added that this function may be added in the future.
Robinhood has benefited from adding cryptocurrencies to its platform, as it has become the destination for trading digital assets for millennials. In early July, the firm noted that 17% of its total revenue was earned from crypto trading, and of its digital currency revenue, 34% was attributed to Dogecoin trading.
The online brokerage firm hosted a roadshow as part of presenting information to investors for its initial public offering (IPO). As part of Robinhood’s IPO filing, a decline in Dogecoin trading interest could spell trouble for its business.
The popular trading app is looking at a valuation of $35 billion in its IPO, aiming to raise over $2 billion in its public debut. The firm’s valuation would ultimately depend on the demand for its shares.
Robinhood is set to start trading on the Nasdaq on July 29 under the ticker HOOD, according to sources familiar with the matter. The company has made itself a significant player in the crypto industry, with 9.5 million users trading cryptocurrencies in the first quarter of this year.
The firm will join the ranks of leading crypto exchange Coinbase that went public in April this year.
Despite its IPO nearing, Robinhood has faced a legal issue with New York’s regulators after the firm was expected to pay a $30 million settlement to the state’s Department of Financial Services for money laundering and cybersecurity-related issues.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Bitcoin, crypto market remain in uptrend following 25 bps Fed rate cut
Fed Chair Jerome Powell stated that the FOMC lowered the Fed funds rate by 25 basis points. The rate cut comes after Bitcoin reached a new all-time high price upon Donald Trump's election victory. Ethereum and Solana also retained gains of 7% and 4%, respectively, following the rate cut.
XRP sees bullish momentum following $123 million increase in open interest
XRP exchange reserves in Binance and Upbit have declined by nearly $13 million. In the past three days, investors opened over $123 million worth of XRP positions. XRP needs to overcome key descending trendline resistance to stage a rally to $0.6640.
Coinbase launches wrapped Bitcoin token on Solana network
Crypto exchange Coinbase announced on Thursday that it has launched its synthetic Bitcoin token, cbBTC token, on the Solana network, marking its first token issuance on the Layer-1 platform. The new token will allow users to stake Bitcoin on Solana and use it as lending collateral.
Solana Price Forecast: Investors stake $1.3B SOL amid November winning streak
Buoyed by Donald Trump's victory at the polls, the global crypto market entered its third consecutive day on an uptrend on November 7, 2024. Amid the ongoing rally, Solana emerged one of the biggest gainers on Thursday, as demand for native memecoins further propelled market demand for SOL.
Bitcoin: New all-time high at $78,900 looks feasible
Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.