Crypto Trading App, Robinhood, Soars To $11.8 Billion Evaluation After $200 Million Series G Funding
- Robinhood announces $200 Million in recent series G funding led by D1 Capital Partners.
- A statement from the US-based brokerage startup has disclosed that the new cash injection will go into improving their products and overall user experience.
Robinhood has closed its Series G funding at $200 Million. The Brokerage application firm made this announcement today via their official blog.
The new cash injection brings their company valuation to $11.2 Billion. D1 Capital Partners will onboard as the new investors to the California based startup. The firm highlighted that the funds would go into the improvement of their core product as well as their customer experience.
“With this funding, we’ll continue to invest in improving our core product and customer experience.”
They recently participated in a similar Series F funding lead by TSG Consumer Partners and IVP in July, raising a cool $320 million. This bolstered their valuation to $8.6 Billion after raising $280 million at an $8.3 billion valuation in May.
Launched in 2016, they have seen their user account numbers swell from roughly 1 Million on launch to about 13 Million currently. Their exponential growth was recorded in the 2020s Q1 registering more than 3 Million accounts facing multiple outages a flaw they have since fixed.
Halted UK expansion
The popular crypto-friendly app revealed that they have had to shelve their expansion plans into the United Kingdom market. They were forced to close and delete information from an online waitlist they had set up for potential clients after receiving approval from the Financial Conduct Authority (FCA) to commence operations in the jurisdiction. They would instead focus on consolidating their position in their home markets.
Robinhood's latest woes could be attributed to a tragedy involving a 20-year-old who allegedly committed suicide after, unfortunately, misinterpreting output from the app. Their put options category insinuated that the latter had lost close to $730,000 while, in fact, it wasn’t the case. The firm has since restricted the Put options category imposing age restrictions and a $250,000 donation to the American Foundation for Suicide Prevention kitty.