Bitcoin

The Robinhood trading app brings in $ 280 million in a round led by Sequoia

The popular cryptocurrency and stock trading app Robinhood exceeded its funding goals and raised $ 280 million in a $ 8.3 billion F-Series round of financing.

Announced publicly on May 4, The F series was led by the venture capital firm Sequoia together with existing and new investors These included NEA, Ribbit Capital, 9Yards Capital and Unusual Ventures.

Cointelegraph reported on this last month Robinhood had apparently tried to raise $ 250 million at about $ 8 billion..

The Robinhood trading app brings in $ 280 million in a round led by Sequoia
The Robinhood trading app brings in $ 280 million in a round led by Sequoia

In addition to traditional stocks and options, the app’s royalty-free crypto trading service supports major currenciesB. Bitcoin (BTC), Ether (ETH), Bitcoin Cash (BCH) and Litecoin (LTC) as well as cryptocurrencies with a smaller market capitalization such as Ethereum Classic (ETC) and Dogecoin (DOGE).

Trading appetite increased during volatility in March

Robinhood’s profits come shortly after a series of high profile power cuts on its platform in March., one of which is said to have caused Robinhood traders to lose the highest point win in a day in Dow Jones history.

However The app saw record sales growth during the COVID-19 pandemic, from $ 20 million in March 2019 to $ 60 million in March 2020.

In yesterday’s announcement of the F series Robinhood said he was “honored that people move to Robinhood in” difficult times “ and market volatility. “

To date, more than 3 million funded accounts have been added in 2020;; Half of this year’s new users appear to be first-time investors.

The consequences of the failure in March

end of March Robinhood confirmed that it had contacted users affected by the month’s errors and promised to refund the amount to be determined in dollars..

The company declined to comment on the total number of users affected.. After a decision in early March, at least one federal class action must be brought on behalf of several dealers.

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