APPS
APPS
APPS
Despite IPO rumors, Robinhood raises $323M in new funding on $7.6B valuation
Despite rumors that it may be planning an initial public offering, free stock-trading app maker Robinhood Market Inc. has instead raised $323 million in new funding to continue its “mission of democratizing finance for all.”
Announced today, the Series E round was led by DST Global and included Ribbit Capital, NEA, Sequoia and Thrive Capital. The round was raised on a valuation of $7.6 billion, up from $5.6 billion when it raised $363 million in its last round in May 2018.
Founded in 2013, Robinhood rose to fame by offering the first and now the most popular zero-fee stock trading app, often cited as beloved by millennials. The company first started offering a web-based service in November 2017 before first adding support for cryptocurrency trading in January 2018.
Robinhood’s cryptocurrency support has continued to grow. The company got a New York BitLicense in January, then launched the product in New York in May, bringing the number of states now supported by the service to 39.
In a blog post, the company also noted that since its last round, it has also launched its own clearing system, support for multileg options and a “gold experience” that provides Nasdaq Level 2 Market Data, essentially the exchange’s real-time order book. Robinhood also acquired millennial-focused financial media company MarketSnacks in March for an undisclosed price.
The new funding for Robinhood could be described as late-stage, but in a market where average tech exits have blown out to around eight years and in some market segments even longer, six-year-old Robinhood will likely not be facing significant pressure from investors to go public, at least not yet.
As its increased valuation demonstrates, Robinhood continues to grow strongly thanks to a booming U.S. economy. As of April, the company was said to have passed 6 million users and its additional cryptocurrency services likely have brought in more since. Robinhood is also looking to take its services into new territories with a U.K. launch likely not far off.
Including the new funding, Robinhood has raised $862 million to date.
Photo: Robinhood
Since you’re here …
Show your support for our mission by our 1-click subscribe to our YouTube Channel (below) — The more subscribers we have the more then YouTube’s algorithm promotes our content to users interested in #EnterpriseTech. Thank you.
Support Our Mission: >>>>>> SUBSCRIBE NOW >>>>>> to our Youtube Channel
… We’d like to tell you about our mission and how you can help us fulfill it. SiliconANGLE Media Inc.’s business model is based on the intrinsic value of the content, not advertising. Unlike many online publications, we don’t have a paywall or run banner advertising, because we want to keep our journalism open, without influence or the need to chase traffic.The journalism, reporting and commentary on SiliconANGLE — along with live, unscripted video from our Silicon Valley studio and globe-trotting video teams at theCUBE — take a lot of hard work, time and money. Keeping the quality high requires the support of sponsors who are aligned with our vision of ad-free journalism content.
If you like the reporting, video interviews and other ad-free content here, please take a moment to check out a sample of the video content supported by our sponsors, tweet your support, and keep coming back to SiliconANGLE.
