This was the largest-ever FINRA penalty in the history of the organization. In late June 2021, Robinhood was fined $57 million by the FINRA and has been ordered to pay $13 million in restitution to clients affected by outages and misleading communications in March 2020. In May 2020, it was announced that Robinhood had raised $280 million in venture funding at a pre-money valuation of $8.3 billion led by Sequoia Capital, and 3 months later, the company announced a $200 million Series G funding round from a new investor, D1 Capital Partners, on August 17. The subsequent market rise was partially attributed to Robinhood traders, but a study indicated that Robinhood traders had little daily impact on major shares.

ĭuring the 2020 stock market crash, Robinhood trading increased. In November 2019, Robinhood announced its expansion to the United Kingdom. In May 2019, reports from Bloomberg and other outlets publicized Robinhood's pursuit of an additional $200 million in funding, which could value the company in the $7 billion to $10 billion range. In February 2018, the company announced that it would be moving its headquarters from Palo Alto to the former headquarters of Sunset magazine in Menlo Park. As of May 2018, Robinhood raised a total of $539 million in venture capital funding, with the last valuation at $5.6 billion, up from their previous valuation of $1.3 billion. On May 10, 2018, Robinhood closed a $363 million Series D financing round led by DST Global. Robinhood co-founder Baiju Bhatt (left) and moderator Josh Constine (right) speak onstage during Day 2 of TechCrunch Disrupt SF 2018 at Moscone Center on Septemin San Francisco, California. In April 2017, Robinhood raised $110 million at a $1.3 billion valuation led by Yuri Milner of DST Global, Greenoaks Capital, and Thrive Capital. As of 2021, Robinhood has 31 million users. Fifty percent of users who have made a trade use the app daily and 90% use the app weekly. Īs of January 2015, 80% of the firm's customers belonged to the ' Millennial' demographic and the average customer age was 26. The firm showcased its app publicly for the first time at LA Hacks, first published it on AppStore in December 2014 and then officially launched the app in March 2015. Tenev noted that executing a trade cost brokerages 'fractions of a penny' but they typically charged fees of $5 to $10 per trade, as well as required account minimums of $500 to $5,000. The company's name comes from its mission to 'provide everyone with access to the financial markets, not just the wealthy'. Robinhood was founded in April 2013 by Vladimir Tenev and Baiju Bhatt, who had previously built high-frequency trading platforms for financial institutions in New York City. Co-founder of Robinhood Vladimir Tenev speaks onstage during TechCrunch Disrupt NY 2016 at Brooklyn Cruise Terminal on in New York City.

Robinhood app safe