If the latest funding round is confirmed, stock trading app Robinhood will become the latest fintech company to be valued at over $1 billion
According to the latest reports, stock trading app Robinhood is in the process of closing a large funding round. Although the exact size of the round remains unknown, it reportedly values the company at $1.3 billion. The investment round is believed to be led by Yuri Milner of DST Global, a Moscow based investment company that funds late-stage ventures. Milner is a successful tech investor and is well known for his 2009 investment of $200 million in Facebook.
Robinhood offers commission free trading in all US listed stocks and ETFs. In 2016, the company launched a $10 per month premium gold option to monetize its business. The Robinhood gold option offers users instant settlements, deposits and reinvestment as well as the ability to trade 30 minutes before and 2 hours after the market, among other benefits.
Although Robinhood app is only available in the United States, the company is in the process of expanding internationally. The app is currently in the regulatory approval process in Australia. In China, Robinhood integrated with Baidu’s StockMaster app in June 2016. However, changes in the Chinese regulatory environment ended its integration with Baidu’s StockMaster.
Robinhood was founded in 2013 by entrepreneurs Vlad Tenev and Baiju Bhatt to democratize access to the financial markets and inspire a new generation of investors. The company is headquartered in Palo Alto, California, and backed by top venture firms including Index Ventures, NEA, Vaizra Investments, Google Ventures, Andreessen Horowitz.
Since launching in 2013, the company has attracted over a one million users, who have transacted over $25 billion on the platform. The app is particularly popular with millennials and first time traders.
More here [TechCrunch]