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Robinhood Lists Stellar [XLM] And Avalanche [AVAX] Amidst SEC Probe

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Leading commission-free trading app Robinhood has expanded its crypto offering by adding Stellar [XLM] and Avalanche [AVAX], per a recent announcement. The trading platform’s recent addition is a welcome change to its earlier conservative listing policy toward crypto assets.

A few months back, it added support of Solana [SOL], Shiba Inu [SHIB], and Polygon [MATIC]. followed by Chainlink [LINK] in late June.

Beginning its foray into the crypto space in February 2018, Robinhood initially allowed its users to trade Bitcoin and a small selection of altcoins. Notably, BTC still accounted for over a third of the firm’s crypto-related revenue during the heights of the meme coin frenzy in the first quarter of 2021.

It gained a lot of attention when the world’s acclaimed meme coin Doge went live in July 2018. Following that it refrained from adding any more crypto tokens for almost three years at a time of massive growth in the crypto industry.

Earlier this year, the California-based firm started releasing crypto wallets, enabling users to withdraw crypto from exchanges.

But that could not alleviate the firm’s woes as in late June, shares of Robinhood took a hit due to shrinking revenue and a decline in active users. There were also reports of a possible acquisition by FTX which was denied by the firm.

Robinhood Embroiled In Legal Battles

On top of that, it recently reduced its staff by 23% amidst revenue falling to nearly halved in the second quarter of 2022.

In addition to that, the U.S. Securities and Exchange Commission has been investigating the company’s compliance with short-selling rules since October 2021, as per a recent filing.

It also received requests from the SEC in Q2 seeking information related to the firm‘s compliance with trade reporting requirements concerning securities and fractional share lending.

This week, the trading platform’s crypto wing was fined $30 million by the New York State Department of Financial Services, in violation of anti-money-laundering and cybersecurity rules.

In 2020, the agency awarded a penalty of $65 million for misleading its customers about a key source of revenue, called payment for order flow which the firm didn’t admit or deny wrongdoing.

Shiba Inu and Robinhood-a great relationSHIB

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Shiba Inus, Bitcoin, and other readily available digital assets can now be moved in and out of the well-known trading software Robinhood by users.

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Early in April, the second-largest meme cryptocurrency, SHIB, was officially added to Robinhood after receiving more than 500,000 votes in a Change.org petition.

Shiba Inu has been added to the list of cryptocurrencies, including Solana (SOL), Polygon (MATIC), and Compound (COMP), making a total of 11 cryptocurrencies accessible.

The cryptocurrency that Robinhood users had sought the most was the canine token. 559,661 people have signed a petition on Change.org calling for the quirky coin to be listed.

Shiba Inu should be listed on the platform, but Robinhood CEO Vladimir Tenev and other prominent executives have evaded the topic again and time again, stoking rumors among the public. Christine Brown, the business’s chief operations officer for its crypto division, made it plain in November 2021 that the company valued quality over numbers, perhaps as a dig at crypto-native rivals with laxer listing regulations.

In the beginning of 2018, Robinhood added support for cryptocurrency trading, starting with Bitcoin and Ethereum. Later in the same year, it also included Litecoin, Ethereum Classic, Bitcoin Cash, and Dogecoin in the mix. Even though the cryptocurrency industry has advanced significantly since 2018, the corporation had held off until now on launching new coins.

Shiba Inu’s lead developer reveals TREAT

On Wednesday, the principal developer of the widely used meme cryptocurrency SHIB hinted at plans to expand the Shiba Inu ecosystem with a decentralized stablecoin, the TREAT reward token, and a collectible card game for its metaverse.

Shytoshi Kusama, a pseudonymous developer, said in a Medium blog post that “independent developers” are creating a decentralized stablecoin called SHI that “seems to sidestep the pitfalls identified in prior moonshots” — most likely alluding to the multibillion-dollar Terra/luna disaster. The blog post stated that the team hopes to release SHI later in 2022 and expects to provide more details as it approaches its final form.

At the time of writing, Shiba Inu was priced at $0.00001111 with a daily rise of 5.55% according to CoinMarketCap data.

FTX ‘Not Looking For M&A’ With Robinhood

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Bahamian cryptocurrency exchange FTX was in news lately after reports emerged of a potential takeover of Robinhood Markets. According to people familiar with the matter, FTX was in discussions to acquire Robinhood.

Bloomberg later clarified that the derivatives platform has not extended Robinhood with a buyout proposal and could still decide against pursuing any kind of deal. 

In a follow-up statement to Bloomberg, FTX CEO Sam Bankman-Fried stated that his firm is excited about potentially collaborating with Robinhood but that there were no active merger conversations, as mentioned in previous reports.

“We are excited about Robinhood’s business prospects and potential ways we could partner with them, and I have always been impressed by the business that Vlad and his team have built,” Bankman-Fried said. “That being said there are no active M&A conversations with Robinhood.”

Robinhood declined to comment.

FTX is one of the largest crypto exchanges in the world and offers derivatives products as well as spot trading. The firm has become a rival to Coinbase and Binance, though it doesn’t offer its services in the U.S.

FTX On The Move

In recent weeks, Bankman-Fried’s firm signed deals to bail out embattled crypto players. It had lend a helping hand crypto lender BlockFi by providing $250 million credit facility. Alameda, his quantitative trading firm, also committed $500 million in financing to Voyager Digital, a crypto brokerage.

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FTX 'Not Looking For M&A' With Robinhood 3

Despite mass layoffs in the crypto exchange business, SBF-led firm confirmed earlier this month that it not be slashing jobs. Bankman-Fried tweeted on June 6 that his trading platform plans to “keep growing” for the foreseeable future. 

With respect to Robinhood, the popular trading platform that introduced millions of traders to Bitcoin [BTC], Ether [ETH] and Dogecoin [DOGE] came under pressure this year as trading volumes ease from 2021’s frenzy.

Those were times when retail investors were rushing to pump money into shares of so-called meme stocks such as GameStop and AMC Entertainment.

But since its 2021 debut in NASDAQ, the discount brokerage platform has shed roughly three-quarters of its value and its current share price has too depleted form its initial public offering.

That said, Last fall, Robinhood announced it was testing a crypto wallet and revealed that the waitlist for it had reached 1 million customers.

Robinhood Releases Zero-Transaction Fee Crypto Wallet

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Leading commission-free trading platform Robinhood has released its first Web3 wallet, which would be non-custodial- meaning users will have sole authority over the private keys which are in encrypted storage.

Prior to the announcement, on 16 May, Robinhood send out a teaser that came with a 30-sec video showing a bunch of apes lying around with bored expressions, suddenly coming across a giant screen that appears to transform them into a multi-planetary species.

Netizens were confused as to what the platform was up to.

Finally, on the next day, the exchange’s official Twitter handle along with the CEO of Robinhood Vladimir Tenev announced that it was building a self-custodial wallet. It will be offered as a standalone app but hopes that it will “feature the same simple and accessible design” as its main service.

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Robinhood Releases Zero-Transaction Fee Crypto Wallet 5

The wallet will extend the ability to store and trade cryptocurrencies, including many not available through the main Robinhood app with “no network fees” and will support NFTs and DeFi [decentralized finance] protocols.

Robinhood’s new non-custodial wallet would compete with Metamask, Coinbase

Even though, custodial wallets, like the one that Robinhood released earlier in 2022, are commonly seen as offering a more user-friendly introduction to the world of crypto, where there’s less risk of losing assets because of mislaid credentials.

But, among crypto enthusiasts, the phrase “not your keys, not your coins” has become a popular criticism of custodial wallets. Proponents argue that one who holds the private key should have full control of their digital assets.

The addition of Robinhood’s new non-custodial wallet might allow it to serve both kinds of customers.

The California-based fintech firm further stated that it’ll be launching its non-custodial wallet in beta “later this summer” and invites anyone interested in trying it out to sign up for its waitlist. A full launch is planned for sometime before the end of the year.

The new app puts Robinhood in a highly competitive market dominated by start-up giant MetaMask with the latest entrant being Coinbase which recently came out with its own self-custody wallet.

Coinbase CEO Brian Armstrong proudly declared his firm’s product as the most downloaded, mobile self-custody wallet in the U.S. in a tweet Monday.

Robinhood ‘scales’ up with two more tokens in its hood

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Robinhood has included Grayscale Bitcoin Trust (GBTC) and Grayscale Ethereum Trust (ETHE) to its list of assets accessible for trading on its platform, according to Barry Silbert, founder of DCG (Grayscale parent).

Among the most prominent publicly-traded Bitcoin funds is Grayscale Bitcoin Trust (GBTC). Since its launch in 2013, GBTC has grown to handle over $25 billion in net assets and garnered nearly 100 institutional investors.

Grayscale Ethereum Trust (ETHE) is fully and effectively invested in ETH, enabling investors to gain exposure to the cryptocurrency through securities without the hassles of purchasing, storing, and preserving ETH directly.

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Robinhood’s cowl got bigger with crypto assets

Robinhood revealed the addition of four new crypto assets to its platform in April, including Compound, Polygon, Solana, and Shiba Inu, with more on the way.

Shiba Inu has finally appeared in Robinhood’s trading list, along with four new cryptocurrencies on its platform, after a long wait. Other assets featured include Solana’s SOL, Polygon’s MATIC, and Compound’s COMP, in addition to the meme coin.

All of the mentioned tokens’ prices have risen since the update. Robinhood’s stock rose 5% since the announcement. Other cryptocurrencies, including Bitcoin and Solana, have also made progress.

Shiba Inu supporters rallied for the asset to be featured on the site, even going so far as to start a change petition, which gathered as many as 550,000 signatures in support of the idea.

Before adding the new currencies to its offers, the commission-free trading platform in the United States said it was carefully evaluating all issues such as consumer demand, its listing committee discusses factors such as on-chain analysis, security, and legal and financial variables, among others.

Bitcoin [BTC], ether [ETH], and dogecoin [DOGE] were among the seven cryptocurrencies supported by Robinhood.

According to DogeWhaleAlert, a Twitter account dedicated to DOGE transactions, Robinhood continues to retain Dogecoin on behalf of its consumers.

Robinhood began giving out crypto wallets to the more than two million users on its waiting list the same month it listed SHIB, and it recently finished the rollout to all consumers.

Shiba Inu Listed: Robinhood Made Crypto Twitter Go Woof!

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Shiba Inu, after a long wait, has finally manifested in Robinhood’s trading list including four new cryptocurrencies on its platform. Besides the meme coin, the other assets listed are Solana’s SOL, Polygon’s MATIC, and Compound’s COMP.

Following the update, the prices of all the listed tokens surge. At press time, shares of Robinhood were up 5% since the announcement. SHIB’s price too spiked 20% on Tuesday, before falling by 11% and is currently trading at $0.00002696 as per Coinmarketcap. Other cryptocurrencies, including Bitcoin and Solana, also advanced. 

The news was received with a lot of fervor as Shiba Inu proponents rallied behind the asset to be listed on the platform, even went to initiate a change petition, gathering as many as 550,000 signatories in favor of the move. 

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The U.S.-based commission-free trading platform, at the time, said it was carefully considering all aspects such as customer demand, its listing committee deliberates factors including on-chain analysis, and security, as well as legal and financial variables, among others, before adding the new coins to its offerings.

With regards to today’s addition, Steve Quirk, chief brokerage officer at Robinhood, said in a blog post.

We’re excited to add more choices for our customers as we work to make Robinhood the best place to invest in crypto. As a safety-first company, we have a rigorous framework in place to help us evaluate assets for listing, and we remain committed to providing a safe and educational crypto platform.

Robinhood already offered seven cryptocurrencies including Bitcoin [BTC], ether [ETH], and dogecoin [DOGE].

Investors hodling Shiba Inu – buying the dip

The Shiba Inu ecosystem has been teeming with a lot of positive developments. All the events that culminated in Shiba Inu’s massive intraday rally also include a period of strong accumulation, data from IntoTheBlock shows.

The meme coins have recently topped the ETH whales holdings list. Whalestats data revealed that the overall amount of SHIB owned by the top 1,000 ETH wallets is worth a whopping $1,459,250,776.

The analytics platform noted the address holding SHIB for more than a year increased its balance in the last 30 days. As a result, these “hodlers” now have control over 2.82% of the net SHIB supply in circulation.

Robinhood grabs other stars as it lets go of one

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Christine Brown, the Robinhood executive in charge of the trading platform’s cryptocurrency ambitions, announced her departure in a tweet on Tuesday. Brown, who worked at the firm for five years, said she would stay in the crypto area, although she didn’t say what venture she would be engaged with. Brown said,

“I’m moving on to start something new. I joined RH when it was under 100 people—before we even offered a crypto product. Watching us grow through IPO and serving more than 22m users has been the greatest professional experience of my life.”

Furthermore, Robinhood Chief Operating Officer Gretchen Howard told local media,

“We’re so grateful to Christine for her contributions over the past five years – from leading our self-clearing initiative to scaling our Crypto team. We’re excited to follow her entrepreneurial journey going forward.”

Robinhood gets closer to its all-around-the-clock dream

Because RH Markets hasn’t been able to grow its user base in recent quarters, the company is doing the next best thing: providing existing consumers even more trading time. Customers will be able to purchase and sell shares from 7 a.m. until 8 p.m. Eastern time, according to the investing app.

Customers can trade from 9 a.m. to 6 p.m. today on Robinhood. They can now log on after work or other duties, or check their phones first thing in the morning, thanks to the extra hours.

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The more clients can trade equities around the clock, the more the stock market will mirror the cryptocurrency market, where traders sometimes feel compelled to follow Asian markets after they go to bed, and even on weekends. Robinhood has also advocated for quick transaction settlement, which it claims will reduce client risk. It also has the potential to lower the company’s capital requirements.

After-hours trading was once thought to be too risky for typical investors, but in the last two decades, electronic trading and looser rules have made after-hours trading accessible to a far larger number of investors.

Retail traders should have the same access to services as institutional traders, according to RH, and this new functionality reflects that attitude. At the same time, it appears to contradict RH’s recent shift toward encouraging investors to use tried-and-true investment practices. Although Robinhood has been known for its speed, this may not be a competitive advantage.

A whopping 40% of Robinhood’s crypto transaction revenue was generated by Dogecoin in Q3

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On Friday, Robinhood exchange released its quarterly revenue filing with the United States Securities and Exchange (SEC). It was seen that over 40% of the total cryptocurrency transaction revenue generated on the platform was due to Dogecoin-related transactions. However, this seems to be bad news for the token as the magic effect of the meme coin is fading.

In the second quarter of the year 2021, Robinhood reported that over 62% of the total cryptocurrency transaction revenue generated on the platform was Dogecoin-related. This presents a drop of around 22% from the previous, and it seems that the Dogecoin frenzy has died down.

The Elon Musk-backed cryptocurrency had achieved a strong following on Robinhood, as in the quarter ending March 2021, the revenue from Dogecoin-related transactions was around 74%. A drop of 34% from Q1 and 22% from Q2 indicates that by the end of the year, Dogecoin fans will reduce in number.

Robinhood’s revenue for the third quarter

The Q3 revenue for the platform totaled $267 million, and of that, only $51 million were a result of cryptocurrency transactions on the platform. Compared to the second quarter, this is a drastic fall. The revenue from crypto trading last quarter amounted to $233 million.

Robinhood added in its statement,

“While we currently support seven cryptocurrencies for trading, market interest in particular cryptocurrencies can be volatile, and there are many cryptocurrencies in the market that we do not support.”

However, a petition to list Shiba Inu (SHIB) on Robinhood on Change.org has got more than 432k signatures, making it clear that SHIB’s popularity has subdued Dogecoin. Recently, we also saw that Shiba Inu entered the top 10 cryptocurrencies in the market, defeating Dogecoin and occupying the 9th position in the market.

For the last 30 days, DOGE went up by 31.7%, rising by 7.2% in the past 7 days. However, Shiba Inu rose by 818.5% in the last 30 days, rising by 157.7% in the past 7 days. On the other hand, other meme tokens have also been rising steadily, breaking all the barriers.

Shiba Inu still out of Robinhood’s interest? CEO Tenev remains mum

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Shiba Inu [SHIB] emerged as the rival of Dogecoin [DOGE]. This asset garnered immense attention from the globe with its price fluctuation and swift surge onto the top 20. With this, Shiba Inu managed to amass a spot on an array of prominent crypto exchanges. However, one trading platform didn’t show any interest in listing the altcoin.

Robinhood made a lot of news over the last couple of years and this wasn’t for all the good reasons. While the platform got back into form, the CEO of Robinhood, Vladimir Tenev spoke all things crypto during a recent interview with CNBC. However, the one thing he decided to leave out or rather ignore was a question about Shiba Inu’s listing.

Completely steering away from the question about listing the meme coin, Tenev took a rather long pause. The CEO dodged the question and did not decline or affirm the listing of Shiba Inu now or in the near future.

Furthermore, Tenev noted that the firm intends to focus on safety and has already been upholding the same. At present, Robinhood has a total of seven assets and intends to keep it at this as safety comes first for the platform. He added,

“I think it goes back to safety first. We are not generally going to be the first to add any new asset. We wanna make sure that it goes through a stringent set of criteria.”

The demand for Shiba Inu seemed to be taking off. A petition was filed on Change.org urging Robhinhood to list the altcoin. The petition managed to garner a whopping 286,000 signatures. However, this seemed to make no big difference as Tenev decided to stay mum about it.

Shiba Inu [SHIB] price movement

After surging by over 10.81% throughout the week, SHIB was seen riding the bullish wave over the last couple of hours. At the time of writing, SHIB was trading for $0.00002771 with a 2.94% drop over the last 24-hours.

The market cap of the altcoin also endured fluctuations over the past couple of days. Currently, the meme coin was in the 20th position with its market cap at $10.8 billion.

Robinhood includes crypto into its 24/7 phone support feature

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Robinhood, a prominent trading application has been in the news for multiple reasons. While some were good, a lot of them showed the platform in a bad light. Robinhood went on to be one of the most valuable companies in the US to have gone public. However, it was time and again called out for its antics which included leaving out users from amassing gains while volatility was at its peak in the crypto-verse.

Now, after an array of controversies, Robinhood was back with crypto and even revealed that it garnered immense profits via crypto in the first quarter of the year. Further elevating its presence and interest in the crypto-verse, the platform decided to include crypto into its brand new feature.

In a recent blog post, the trading platform revealed that it had rolled out around-the-clock phone support for its customers. After listing out the feature of its latest addition, the platform noted that users could “get any help with any issue, including crypto.”

Furthermore, the platform claimed to be the first major platform to entail 24/7 phone support for its crypto wing.

Robinhood’s latest move towards crypto

The blog post noted that users of the application could call up this 24/7 phone support any day of the year. The company would render to the needs of the customers every day of the week irrespective of holidays. In order to employ this service, users are required to go on to the trading application and request a call. Soon after which they will receive a notification revealing their slot for the phone conversation. The customer service representative would then call the user.

While noting that the trading platforms’ “top value is Safety First”, it hopes to formulate more resources that help its users. The blog post read,

“We are on a mission to make investing accessible to everyone. Expanding access means making sure we’re there for you when you need us. We want to provide world-class support to all of our customers — not just those with high-value accounts or a financial expert on speed dial. Our team of customer support representatives are here to support you on your journey, no matter who or where you are.”