As cryptocurrencies proceed to surge to new highs and bask within the media’s limelight, Robinhood reported main development within the variety of customers buying and selling crypto on their platform. In accordance with their weblog put up, the California-based dealer noticed its crypto consumer base develop to an all-time excessive of 9.5 million — up roughly 558% from 1.7 million within the earlier quarter.
Robinhood started providing cryptocurrencies on its platform again in 2018. Since then, its choices have grown to incorporate Bitcoin, Ethereum, Litecoin, Dogecoin and Ripple, amongst others. The corporate recorded six million new prospects on its crypto platform within the first two months of 2021 — a milestone development contemplating the platform solely noticed a mean 200,000 prospects on a month-to-month foundation.
“We launched Robinhood Crypto to offer our prospects the chance to purchase and promote cryptocurrency — along with the vary of property supplied via our brokerage… However there’s nonetheless numerous work to be performed. Because the starting of the yr, Robinhood’s crypto workforce has already greater than tripled and we’re persevering with to develop,” mentioned Christine Brown, head of operations at Robinhood Crypto.
Coinbase Set to Go Public This Week: May Robinhood Come Shut To Its Valuation?
As Robinhood seems to be to go public within the coming months, there’s little doubt that its current success in crypto will enhance its valuation. Final August, the corporate raised $200 million in its newest funding spherical. Its Sequence G tranche valued the inventory brokerage at $11.2 billion.
Tangentially, crypto change big Coinbase is set to go public this week at a potential valuation north of $100 billion. In its earnings report, the change touted a powerful 6.1 million lively customers with sturdy income development.
For what it’s value, Robinhood has a significantly increased headcount at 9.5 million its crypto platform alone. It’s necessary to notice that, in contrast to Coinbase, Robinhood’s enterprise mannequin doesn’t depend on commissions and charges. Nonetheless, the platform’s huge market share and explosive development in crypto will doubtless result in analysts revising their goal valuations.
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