Stock and Crypto Exchange Robinhood Aiming For IPO

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Stock and Crypto Exchange Robinhood Aiming For IPO

Sun Sep 09, 2018 12:37 pm

Popular stock and crypto trading app Robinhood is planning on going public on the stock exchange with an initial public offering (IPO). Robinhood has been offering zero fee crypto trading since its crypto services launch, causing it to amass users quickly, and now it has over 5 million crypto traders using the platform. If Robinhood were to succeed at getting publicly listed, it would be the first crypto related exchange in the world to have a publicly tradeable stock, a major milestone.

The caveat with Robinhood is it doesn’t offer spot crypto trading. Users can’t withdraw any crypto to their own wallets from Robinhood. Robinhood seems to suggest that the crypto assets in Robinhood accounts are real, but there is no explicit guarantee that Robinhood actually has crypto reserves for all of their crypto balances, they might be using a mix of cash and crypto to back crypto balances. That’s why it is prudent to say this is the first crypto related exchange to get a public stock if successful since Robinhood cannot be considered an actual crypto exchange at this time. That being said, Robinhood’s support page says they want to add crypto withdraws in the future, which would make them a real spot crypto exchange. There is no sign of this happening yet though.


https://bitcoinnews.com/stock-and-crypt ... g-for-ipo/

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