35 Burst results for "Robinhood"
CryptoCompare
Market Analysis Report 02 Mar 2023
"10 a.m. Thursday, march 2nd, 2023. Market analysis report march 2nd, 2023. MT gox creditors to finally receive their Bitcoin Australia, announces CBDC pilot Robinhood crypto wallet rolls out on iOS globally
The Daily Hodl
DOJ Officially Seizes Over 456,000,000 Worth of Robinhood Shares Tied to FTX Founder Sam BankmanFried
"7 p.m. Sunday January 8th, 2023. DoJ officially seizes over 456 million worth of Robinhood shares tied to FTX founder Sam bankman fried. The U.S. Department of Justice DoJ has officially seized shares of popular trading app Robinhood linked to Sam bankman fried despite objections from the disgraced FTX founders legal team. In a filing dated January 6th, prosecutors with the commercial litigation branch of the DoJ civil division informed the bankruptcy court in the district of New Jersey. The post DoJ officially seizes over 456 million worth of Robinhood shares tied to FTX founder Sam bankman fried appeared first on the daily HODL.
Bitcoin News
SBF Fights for Robinhood Shares Says He Needs Them More Than FTX Customers Who Only Suffer Possibility of Economic Loss
"1 a.m. Monday, January 9th, 2023. SPF fights for Robinhood shares says he needs them more than FTX customers who only suffer possibility of economic loss. Disgraced FTX founder Sam bankman SPF is attempting to regain access to his Robinhood shares worth over 460 million. The former CEO of the collapsed crypto exchange claimed that he needs them to pay for his criminal defense, stressing that without them the consequences would be serious and irreparable. FTX customers, on the other hand
CryptoCompare
Market Analysis Report 05 Jan 2023
"9 a.m. Thursday, January 5th, 2023 market analysis report, January 5th, 2023 DoJ sees as Robinhood shares from FTX coinbase reaches 100 million settlement over failure to scale compliance program SEC raises concerns over binance, U.S. 1 billion deal for Voyager assets
BitcoinChaser
Twitter Adds BTC and ETH Price Charts
"For p.m. Thursday, December 22nd, 2022. Twitter ads BTC and ETH price charts. Twitter is embracing cryptocurrency evermore with price tickers that display BTC ETH, live prices supported by Robinhood. The post Twitter adds BTC and ETH price charts appeared first on Bitcoin chaser.
The Breakdown
BlockFi Sues Sam Bankman-Fried Over Robinhood Shares
"Now when it comes to the crypto contagion story, not much has changed since yesterday. There is still a conspicuous lack of updates from genesis and digital currency group, although some amount of doom posting has subsided. Whether that's because there's new information or simply declining engagement with that doom posting, it's not exactly clear. Still, for those looking for a sliver of hopium, yesterday, massari's Ryan selk wrote, I am 90% confident that genesis does not need to go into chapter 11. That would be a strategic choice, but not a necessity. Beyond that, the most interesting follow-up to yesterday's contagion stories is a bit of bankruptcy to Ted between BlockFi and FTX. If you listen to the show yesterday, you know that BlockFi filed for chapter 11 on Monday. Well, on the same day, they also sued Sam bankman freed. Their complaint is aimed at emergent fidelity technologies, which is one of Sam's wholly owned holding companies. The suit is demanding that emergent, AKA Sam, turn over, quote unquote, unspecified collateral, which would be interesting on its own. However, according to loan documents seen by the Financial Times, the collateral in question is SPF's Robinhood shares. Remember, earlier this year, Sam bought about 7.6% of Robinhood, which sparked massive rumors that he was going to try to acquire the company outright. So here's the core of the suit. BlockFi claims that on November 9th, which was of course when everything was falling apart for FTX, but a couple days before its bankruptcy, emergent signed an agreement to guarantee Alameda's obligations to BlockFi, pledging a certain common stock as a security. When it appears like from the outside and looking back, was that as Sam was frantically trying to save FTX in Alameda from crumbling under their own weight, he tried to get BlockFi to chill out on calling do some of Alameda's deaths by pledging his Robin Hood stock as collateral. Now, importantly, earlier this month, FT also reported that based on signal messages they had seen, SPF had at the same time been trying to sell his Robin Hood shares to various parties directly. Those sale attempts continued right on through signing this pledge all the way until the evening of November 10th. However, whatever deal BlockFi thought it had was shot all to hell when FTX filed for bankruptcy.
Dennis Prager Podcasts
Student Loan Forgiveness Is Reverse Robin Hood
"We continue with the preview video on student loans. It's hard to imagine how we could screw up higher education any more than we already have. But we're about to, if we make student loan forgiveness, a reality. There's a lot in phrase that helps explain why. The phrase is cui Bono, who benefits. In the case of student loan forgiveness, it's first and foremost, the colleges and universities who can charge outrageous tuition largely paid for by student loans. Second, politicians who make cheap promises of debt forgiveness to win votes. And third, students from upper middle class families who would get taxpayers to pay off their student debt, who doesn't benefit? Everyone else. That includes those who didn't go to college and a new class of suckers, people who went to college and paid off their student loans. Student loan forgiveness is reverse Robinhood. It takes from the poor and gives to the rich.
The Hugh Hewitt Show: Highly Concentrated
Inflation Woes Crush Wall Street Numbers
"To the news that shocked a lot of Americans that they got home last night. They saw that Wall Street shots sold off. Big time. So I let me look at what the total percentage of on the doubt was 3.12% on the S&P, it was three and a half percent on the NASDAQ. It was 4.99%. The Amazon was down almost 5% itself. And I'll tell you what, it's probably going to go on for a while. Because the market knows the fed meets every couple of months and is going to raise interest rates a half point every time they meet until such time as inflation is broken because every single person that inflation is the enemy here. And don't worry, if you're unless you're a speculator and you're selling puts and calls. And that's just gambling. I'm not sure Robinhood kiddo, who thought, you know, I was going to make a fortune by trading GameStop and AMC. You expect this and you grim and bear it. If you're an investor, as opposed to a speculator or a trader, you just say, ah, well, you know, that was a good 5 years. And it'll be a year before we start to climb steadily again. Maybe two. But it will, the S&P, the NASDAQ, the Dow, big tech, strong commodities, like P and G, but they always come back. Boeing's got troubles only announced it's moving its corporate headquarters. Near me and the beltway and that is simply the capitulation of corporate America to the reality of the interest rates and tax rates of living in a blue city.
CNBC's Fast Money
"robinhood" Discussed on CNBC's Fast Money
"With more. What a decline that we've seen Kate. Hey, Melissa, that's right. Robinhood reporting a wider loss on earnings and Wall Street had expected lower than expected guidance and a slowdown in users for the quarter shares plummeting after hours down as much as 15%. It looks like they've recovered a bit here down more than 10%. First quarter guidance though, that was the big disappointment. Robinhood, expecting revenue to be below $340 million, that was a miss by more than a $100 million. Monthly active users did fall from the third quarter, although total users were pretty much flat from the prior quarter. Q four revenue, total revenue was a slight beat more than 72% of that top line numbered still coming from transactions, options, making up by far the biggest chunk there at a $163 million. Equities about a third of that followed by crypto. Average revenue per user also down about 39% from a year ago, but if you think about this quarter last year, tough comparison, it was the height of the GameStop saga back in January, a call like you said, still going on. I did speak to CFO, Jason warnick about the quarter, though. He talked about growth and the plans going forward. They do plan to roll out tax advantage accounts and retirement accounts. That's looking like midyear said they're setting aggressive targets for taking the crypto business international. That should also happen by the end of this year wallets as well. That's expected to roll out this quarter about 2 million people in the waitlist he says trading has been slower this quarter compared to the end of last year, he did say in the last couple of days though, it's been picking up a mid of the volatility, but it's hard to predict this business. He still says the overall market trading volume is really tended to find revenue. He said, they move in tandem with those. It makes it a little bit unpredictable. I did ask him about some of the M and a rumors recently as the stock gets hit. He says, they have been hit with that rotation at a growth, though they do remain incredibly optimistic about the road ahead. He says Robinhood does plan to stand as a stand-alone company going forward in another quick highlight from the colleges now CEO of Latin of saying that they have a new partner. They have a new market maker on the crypto side that should improve the economics and they should benefit from rising interest rates on their cash accounts. Anyway, so at stock really getting hit here down 11% after hours. Yeah. It should be an interesting call, Kate, keep us posted. Thanks, Kate Rooney. The guidance, Kate mentioned the huge mess a $100 million miss on the revenue guide for first quarter. Just to put it in perspective, the 340 million which they're projecting to make is still below even the lowest estimate on the street for its first quarter revenues. And there are cell ratings. So it is even below the cell rating estimate for first quarter revenues on the street. Brian Kelly. Can they say anything on this call to turn this around? Oh, I don't know. I mean, listen, I'm shocked. Shocked that you'd stop stuffing people's bank accounts with stimulus checks and the average NASDAQ stock or 50% of the NASDAQ stocks are down 50% that they missed. Of course, I'm being a bit facetious there, but this was one of those stocks that fully benefited from all types of government stimulus, and I can't imagine that they're going to say anything on the call that is going to change anybody's mind. And if you're those analysts who already had a sell rating on it, this is worse than you expected. I can't imagine you're going to wake up tomorrow and go, hey, this is a buy. So for me, you can have it. It's all yours. There are a lot of stocks out there that are, I don't want to say a lot that are sort of in the same boat in terms of huge declines Dan, maybe the best could be perceived to be behind them. What outcomes you see for Robinhood? What potentials? Does it go it alone, even Kate said that they say that they're going to go it alone? That's their intention. But can they go it alone? Should they have a partner? Are there partners out there for Robinhood? Well, I mean, listen, you know, just you know, be K, saying is have at it. It's not habit. It's have at it. Let's be very clear about that. I mean, listen, this was a disgusting quartering guide. There's no other way to put it. And if you look at the revenue last year, $1.8 billion and the fact that they lost nearly 3.7 billion in net income. You know, my friend Danny Moses just said this to me when the numbers were coming out. If this company can't execute well in the best bull market we've seen in 20 years, how are they going to do in a bear market? You know, and when you think about just when that stock started gapping down after it went public after the results that reliance on crypto was way too much, we were highlighting at the time, the reliance on Yolo calls in the options market was a great deal. It's just not a real serious financial platform. In my opinion, and we get to look at a lot of different ones that we interact with a lot of different ones that gamify the stock market like BK said that had people who couldn't work. They had no sports to bet on and that's what they had cash in their bank accounts. And that was what happened here. And that's it. And so your question is, yeah, can they go to loan? Of course they can. They can't continue to lose money the way they do because there's a lot of companies that offer much better services than they do that make a lot of money. And they have the scale and they don't have the churn and they don't have the I guess the issues with the management and the trustworthiness. I saw you tweeted something out, Mel that Vlad, like a year to the day, tweeted out some new customer service, Bill of rights or something like that. It's a year too late. Yeah. That was pretty shocking that it came so late after they restricted selling. Buying excuse me, Karen, does this make the E trades of the world look like they have a much stronger moat? A year ago, we were postulating about the competitive nature that Robin Hood could bring to the game in terms of changing the game. I mean, they did, but here it is. Floundering. Yeah, definitely floundering. And I mean, you know, FinTech, obviously he's gotten hit. They've gotten hit even harder. And the growth multiples come again. The growth multiple absolutely should be coming in here because they're not growing, right?.
Money Rehab with Nicole Lapin
"robinhood" Discussed on Money Rehab with Nicole Lapin
"For order flow is? So, you know, if you want to buy a share of Tesla, you go to, say, I want to buy a share of Tesla. There's a bid and an ask, right? What somebody is willing to sell it for? Somebody's willing to buy it for. That's called the spread. And you can go do that at the NASDAQ directly on the NASDAQ exchange, or you can do it through what's called a wholesale market maker, the exchanges are restricted to changing it to one penny increments of minimum spreads. So the difference between the buy in the cell orders have to be at least a penny. But wholesale market makers are able to offer fractional prices. And so they're able to sometimes get you a little better pricing than you could get on the exchange. So through that, incentive, they're able to get the trades executed on their platform. Robinhood is making money by getting paid by the wholesale market makers Citadel for two others for payment for order flow. And then through that, they get intelligence about the markets. What's going on in the markets? Where are the trades happening? And they get intelligence about that. And it's valuable to them. And they know a lot more about risk management than their retail investor does. And they're able to leverage that knowledge about risk management and the superior data to ultimately get good outcomes for themselves. Let me double click on the spread. So when you stop at a gas station and you want to buy a $2 bottle of water. The buyer spends $2 and the seller pockets $2. In investing, this isn't typically true. Typically, there's a gap between how much the buyer spends to purchase a share and how much a seller gets when selling a share. That gap is the spread. And this is where we get into the idea that investing is not just between the buyer and the seller. It's a really between four people, or four entities here. The buyer, the seller, the brokerage, like a Robinhood, and a market maker, like a Citadel. Right. So the brokerage and the market maker are facilitating these trades and they get to pocket the spread. Yes. That matters when we're talking about huge volume. And when you're signing up for a platform like Robinhood with all these free trades and whatnot, you're thinking that this is free, but it's not free because you're actually paying a small fraction of a percent that turns into real money. Absolutely it does. And here's where the issue of gamification comes up. When you sign up for Robinhood, they're usually not putting Apple and IBM and Microsoft in front of you, right? Because those are very tight spreads. Robinhood makes more money. I'm afraid, the wider the spread. So you mean like essentially, those are blue chip tried and true value stocks. They're not making like a ton of money overnight in Microsoft. Right. And they're highly liquid, the spreads are very tight. Whereas if you can get somebody to buy an option on GameStop, back during the first quarter when GameStop was going nuts and it was $300 a share, let's say, and now the spread is like $300 or $301, you got a dollar spread. And then you go, well, I want to buy an option on GameStop instead. Now the spreads even wider, Robin Hood makes a percentage of the spread. So the wider the spread, the bigger the cut for Robinhood. So they're incentivized to bring illiquid opportunities to the attention of their customers because those are more profitable transactions for Robinhood. So AKA more risky. There are more risky for the user. Which is not actually investing, but trading. Yes, it's gambling. So you take it a step farther. I do. Yes. Before sharing the rest of my conversation with doctor Smith, which I will do and tomorrow's episode, I wanted to take that primer we just got on payment for order flow and reexamine the response I got from Robinhood. Yes, like Robinhood said it is true that sometimes payment for order flow may give investors a better price on investments. But they didn't really pull back the curtain because the question implicit in payment for order flow systems is whether there's a conflict of interest between Robinhood working with market makers when they should be working for their users. It is true that Robin Hood did not invent payment for order flow. That was actually Bernie Madoff. And you may have heard of him. But Robinhood invented how to exploit it more than any other brokerage as evidenced by the fact that it accounts for the majority of their revenue, which is unprecedented. But here's the thing, even if you shrug off the fact that Robinhood is making money off the spreads in your investments, you shouldn't ignore the fact that you're investing behaviors and decisions may stem from Robinhood's marketing. That's the most insidious part of all of this. It seems like Robin Hood is using marketing tactics to encourage users to make investments that are profitable for Robinhood. The bad news is, what's profitable for Robinhood isn't necessarily profitable for Robinhood users. As we'll hear more about in the next episode, brokerages that use payment for order flow make more money on bigger spreads and spreads tend to be larger on riskier investments. In other words, if you're a Robinhood user, you make money by choosing smart investments, which may mean safer investments. But your platform, Robinhood makes money when you choose risky investments. Therefore, you and Robinhood reap financial gains in essentially opposite scenarios. Do you see how this could be a problem? If you and your brokerage had a win win structure where your financial incentives were aligned, then yeah, sure, a few cents or fractions of sense that Robinhood gains from the spread might be negligible. But when you have a win lose structure with your brokerage, you may be marketed opportunities that set you up to lose. That's all for today's episode, tune in tomorrow for the rest of my conversation with doctor Smith, where we go deeper into the dark side of these modern investing platforms. How they're addictive, why they're dangerous and how users can protect themselves. Money money rehab is a production of iHeartRadio. I'm your host, Nicole lapin, our producers are Morgan loy and Mike Costa Riley. Executive producers are Nicki itor and will Pearson. Our mascots are penny and mimsy. Huge thanks to OG money rehab team Michelle lands for her development work. Katherine la for her production and writing magic and Brandon dicker for his editing engineering and sound design. And as always, thanks to you. For finally investing in yourself so that you can get it together and get it all. I'm gilan, I'm 43 years old, after having a kid, everything that you used to do for yourself goes out the window. It's like learning four different foreign languages at once. So your brain is about to explode. On top of that, you're not sleeping. The lines that I was seeing in my forehead were getting a lot deeper than I was used to.
Mark Levin
FBI: U.S. Retail Stores and Companies Lose $30B a Year in Shoplifting
"U.S. retail stores and companies this theft shoplifting has cost them $30 billion a year According to the FBI Now just think about that when that number goes through the mind set of a Marxist right $30 billion I mean they can spare $30 billion just in losses What do we really come to their mind I know I know you have to put yourself in their mindset So this is not easy but let's try it You have to put yourself in the mindset What they don't hear they don't hear $5000 of goods from a Nordstrom store They hear $30 billion They were these stores these big evil capitalist entities We're able to write off $30,000 $30 billion excuse me in stolen goods and didn't blink an eye Why are they not being taxed more Why are they not paying more in taxes And then they go on with their nonsense about how is it possible that a corporation can pay less in taxes and somebody in the middle class Which is a lie Of course they say that over and over again Amazon paid $0 in taxes Bernie Sanders will scream And now it is that these rich stores they'll lose $30 billion in stolen goods and they won't even blink an eye See that's that's what you have to understand You know the reason why these woke social justice professors came out and said don't call it looting Looting has a social justice connotation is because they view people who loot as victims but they also view people as who shoplifted his victims too Let's face it right If these big evil cushy big stores can lose all of this merchandise and money and still stay in business Meanwhile people are struggling out there and these people are not paying their fair share in taxes You understand what the left starts thinking right How dare we prosecute these people This is like a modern day Robinhood What's happening here These big corporations are stealing from them by not paying their fair share in taxes and all these people are doing is going in and getting what's theirs Oh you know they think that right Of course they think that And so what's happening across the country and
AP News Radio
Robinhood reports data breach affecting 7 million customers
"Hi Mike Rossi a reporting Robin Hood announces a data breach exposing users emails and names the investing app Robinhood said Monday it was hacked last week in a statement Robin Hood said hackers accessed some personal information for roughly seven million users and demanded a ransom payment Robin Hood said it believes no social security numbers bank account numbers or debit card numbers were exposed for most affected customers the only information obtained by the hackers was an email address or full name although some customers had more extensive account details revealed more than twenty two million users have funded accounts at Robin Hood hi
This Week in Startups
"robinhood" Discussed on This Week in Startups
"All right i stop in our news rundown before we get to our interview. Robinhood doubled their revenue year over year but their stock is down almost ten percent due to warnings of a trading slowdown. Full disclosure slash. Flex i was one of the early angel investors in robinhood before they even watch the product. So i still have all my shares having so one. Don't plan on selling any of my shares i will distribute my shares to my lp's in my fund. But i'm long the company. I think they can get you a hundred million accounts and that has never been done before at least at the best ability if you knew of any finance company with a hundred billion people in the united states. I'm sorry one hundred million people united states. let me know so Robinhood nancy's q two earnings yesterday. After the bell as is the case with earnings reports and this was their first quarterly earnings report as a public company. I talked about the s one and their ipo. In previous episodes book before against the earnings. Let's quickly recap what a crazy ride. It's been actually in the short period of time since robinhood went public as you know they let their own users have access to their members have access to their ipo shares which was very cool and that's a trend. I hope to see a more companies. Do you know whether spotify going public reimagined netflix. When they went public giving chairs to their subscribers or giving i access to those shares subscribes really cool idea. The ipo went out and thirty eight dollars a share in late july. And yeah it was a pretty wild ride. I i don't really care about the stock price in the short term just to be clear. A lot of people have been asking me to comment on that. They've been trying to hang on. Cnbc to comment on it. I you know if you're holding a share in a company for a decade you really don't care about the day to day stock rights. You're just concerned about the growth of the core product profitability the management team. And that kind of stuff which is all excellent so on the first day of trading it went down ten percent omega everybody. Such a failure. The so terrible companies are going like. That's not the number to watch. Like how many accounts do they have. And how many assets do they have.
CNBC's Fast Money
"robinhood" Discussed on CNBC's Fast Money
"I don't necessarily get it. But i see what's going on in the world and i think you buy the dip here in hood so dan i mean two point. Seven million shares have already changed hands and just the after our session right now. It shows that there's a lot of interests. There's no doubt there's a lot of interest here. Is this one of those situations that were you kind of wait for things to settle down to give it a day or two before you kind of jump in a little bit i. I'm not sure there's something so compelling about owning this thing this is what we called it. Last week i think the meam stock she became a stock. You know what i mean and so at the end of the day if you long dot. that's good. There's a lot of ceos who want their stocks to become mean stocks. I don't think these guys want their stock to become immune stop. Because with that comes. A lot of scrutiny. I think the focus on crypto is really important last year in two to i think they had five million dollars in revenues from that q one they had eighty seven million dollars in revenue that this one two hundred and thirty three and a lot of that is joe. I don't know if those is real or not. I know people like to trade it because it's like a penny stock but that is not something that i'd want to build a business on the other aspect of it is options and we know that this company has a chequered history with options trading game of finding it when i look at those assets under management one hundred and two billion and i look at those funded accounts around twenty two billion. I can do guy you can even do that manually. It's about forty. Five hundred dollars will ever read yard or red beard. Or whoever's burned they're going to happen. Eight thousand dollar average account. That's the miniscule. In the this is a gaming app. That's what this is. Throw it in your draft kings sort of category. That's what's going on here. It's not invested care feinerman. I mean we've talked a lot about the gamification of some of these types of platforms here and we do know from robin hood kind of anecdotal evidence. And now even some of the evidence that we've seen in disclosures that a lot of it was time around stimulus payments last year during the covert pandemic. Is there a hope that robinhood grows its user base and gets more money per funded account even without government assistance being put in there so that this does become more of a gamification type situation where they can vacation type situation already and there is a lot of hope of it. Hope in it already that this isn't just a you know a covert kind of beneficiary in that the hope is that this is the new generation of traders investors. But i mean even the interfaces sort of a game advocation so it's really not for me the stock being down. I don't think is i mean. They just came public three weeks ago. And the stocks about twenty five percent higher the where it came public and they did give some guidance that was not wildly different than where we are so is selling off. A little bit is actually. I don't think that's. I don't think that's a bad reaction. The whole thing though is not for me it is. I think of it as stock in the company that makes the magic beans. Because i if we don't continue to see this kind of market. I think it'll be a difficult valuation here. The one other thing you know. I don't like something that's so concentrated in it's where they get the revenue from and also this pay for order flow. That to me is kind of a big risk. That i wouldn't wanna take our. It's so tim let. Let's kind of button this thing up. It's one of the hot trending stories right now on our website. Dan mentioned it. Robinhood says does coin accounted for sixty two percent of crypto revenues in the second quarter also by the way crypto academy for more than half of all transaction based sales in the quarter. Is robin hood better or worse than coin base with regard to people wanting to take a view on the crypto currency is sphere..
Adventures in Finance: A Real Vision Podcast
"robinhood" Discussed on Adventures in Finance: A Real Vision Podcast
"And you see you know you can see them kind of like you can see like the if you stuck them on top of each other and you invert one. You could see that. Amc sells off shortly thereafter. You know h. o. d. rallies right so And the implications of that are not. This is not just about meam stocks. Either right because this is the active flowing capital That is moving things on the margin. So what you get is something like Crypto for example like bitcoin. That's been selling off since selling off in tandem with With you know amc's or rubber dmz because essentially what my what my thought was you. Were going to get a sort of new bull market in crypto. This is gonna be my kind of big call. That i was gonna make Because of all the flow is coming out of amc. That were then finds back into crypto. Just as a kind of rotates in and out off throughout twenty twenty one except this time that was intercepted midway through via rod listing options. And so that kind of like a interruption like halt going into crypto as well Wasn't question talk you jack up before the call we we briefly talked about robin hood and i made the joke that on my god. These robinhood options the abbot of money ones training at three hundred percent implied volatility. And you said something you said. That's probably pretty cheap. And i just laughed and i thought wait. He might actually be right. Do you want to elaborate on that thought a little bit based on what you just said about the rotation out of amc maybe so amc's traded. You know what five hundred before you know So basically what. Something is trading at three hundred vol. It's the equivalent of robin hood's Price earnings ratio being twenty. Seven hundred Something like that. At a forty billion dollars valuation is probably far more than that now. What that means is that if there's a pe ratio of like thousands or like a three hundred five hundred it means that traders are not looking at implied volatility or price earnings ratios of metrics are not very relevant at all so They're interesting to look at but they're not They shouldn't dictate like yeah. The stock is expensive option. Expensive like yeah i. it's it's really expensive and it certainly can get a lot more expensive And then you know what i'll say to about robin hood is so daily briefing the day that the files and so i had to kind of quickly through that day but i was thinking about this notion that what if robinhood itself becomes a mean sock it could actually become Interesting and or kind of danger situation because robin hood. If you recall in january they had to block buying of gm options and gm shares on. And the obviously know their users very angry. Well robin hood is any. Isn't really that much more capitalized. Now it'd be to be able to handle you know insane amount of flow to post collateral for so what happens in a situation where robin hood has to block buying on hbo.
CNBC's Fast Money
Robinhood Goes Meta, Becomes the Ultimate Meme Stock
"Robinhood taking investors on a joyride the stock surging as much as eighty one percent for triggering several trading halts early in the session. Robin had closing out the day with a gain of just fifty percent. It's now up. Eighty five percent since going public on thursday. So what's driving. The wild action shares. A robin hood. Let's kick things off with kate. Rooney's got the story kate. Tamerlane's yeah quite a turnaround for robin hood. The stock touched eighty five dollars earlier. That is well above where it last week robin hood. Stunk ended the day around. Seventy dollars per share was the second. Most traded name on the nasdaq. Today only behind. Amd and it was halted a few times for volatility today as far as trading volume it surpassed its ipo day with more than eight billion dollars worth of shares changing hands. The stock is still seen pretty thin trading so that thanks to some of those lock-up periods for certain investors mean fewer shares are available to trade. I'm told that brought a lot. More volatility today retail interest is another big factor. It is the most mentioned stock on read it. At least it was today. According to data from think with more mentions than both game stop and amc and momentum train is well. That is a factor. There's likely hedge funds looking to jump in on some of this action. Short interest though does not appear to be a factor at tends to be pretty expensive too short stock like robin hood so soon after nine peo- that is thanks to the lack of shares out there to borrow. I talked to s. three partners about this earlier. They say there is some short interest but it was really the long side. Driving robin hoods prices today.
Techmeme Ride Home
WhatsApp 'View Once' Brings Disappearing Photos and Videos
"What's app is rolling out. A view once feature for photos and videos that can disappear from a what's up chat after the recipient opens said photo or video. Quoting the verge win sending a photo or video you can make it view once by tapping the one button to the left of the send button after the recipient opens it. It'll be deleted. The recipient will be able to see that. It's a disappearing photo so it's still the type of thing you only wanna use for people. You can trust not to take a screen shot. In june mark zuckerberg confirmed that the feature would becoming though details about when it would release. Were scarce according to wa beta info. The feature has been invaded for about a month as an example of how the feature could be used. Whatsapp uses the example of sending a photo of sensitive information like a wifi password. Of course there are perhaps other less wholesome uses for this kind of feature and
Techmeme Ride Home
"robinhood" Discussed on Techmeme Ride Home
"Wednesday august fourth. Twenty twenty one. I'm brian mccullough today. Robin hoods shares are up so much after that busted. Ipo that trading had to be halted. Today what gifts. Also what's up with the rush into buy now pay later startups. All the sudden lulu will become roku. Official video store superhuman raises another round. And do you need a smart soap dispenser in your life. probably not. here's what you missed today. In the world of tech is robin hood a maim stock now remember when robinhood ipo d- and it didn't go so well. No i day pop. In fact they were down on the first day of trading. There were some concerns about the long term viability of robinhood business model of payment for order flow and all that causing some investors to blanche a bit. Yeah well robin hood. Shares soared sixty five percent this morning reaching seventy seven dollars per share forcing seeing trading to be halted for a time. This is after a surge yesterday thereby bringing total gains for robin hood across the entire week to nearly one hundred and twenty percent. So who needs a first day pop when you have a first week pop because maybe you have users as huytler lers as we speculated on earlier this week quoting. Cnbc robinhood stock is making up for its lackluster debut. On the nasdaq last week. The stock price at thirty eight dollars per share the low end of its offering range in opened at that price on thursday but then fell eight percent on its first day and had largely traded below that price until tuesday. When it rallied more than twenty four percent it is unclear. Exactly what is driving. The stock higher on wednesday however attention from popular investor kathy would typically benefits growth stocks arc invests would purchased eighty nine thousand six hundred twenty two shares of robinhood on tuesday in arc fintech innovation. Etf a position worth roughly four point. Two million dollars based on robin hoods closing price of forty. Six dollars eighty cents. This position adds to the approximately three point one. Five million shares would has bought of robinhood. Since the company's debut last week robin hood is also garnering attention from retail investors hood robin hoods ticker is the number one ticker on wall. Street bets tracker swaggie stocks which indicates more than seven hundred mentions on the rennet chat room and quote apple said it is using a firms pay bright product to launch a buy. Now pay later program for iphone mac and ipad purchases in canada. Beginning august eleventh. According to a staff message quoting mark gherman in bloomberg the company's planned to debut the initiative this month at apple's online and physical retail stores in canada according to a message sent to apple retail employees in the region which was obtained by bloomberg news. The service will add iphone mac and ipad buyers in canada pay for purchases over twelve or twenty four months instead of in full at the time of the transaction. Apple told staff it will offer the program interest free limited time after the launch. This will become apple's first installment program in canada and several years apple has offered a buy now pay later system for apple purchases via its apple card credit card with goldman sachs in the us since last year but the card isn't available internationally. Apple has also long offered monthly iphone payment plans in some countries and quote so this might at first blush not seem like the biggest story in the world. Look i'm openly asking at this point what's going on with this. Buy now pay later space. I mean it was billions multiple billions of dollars worth for square. Not too long ago and i literally have like five. Different stories of new rounds raised by b. n. p. l. startups. Just from the past two weeks. That i could tell you about right now. If i wanted to like the continued hotness for food delivery this buy now pay later space. Confuses me like. Isn't this just layaway. Haven't we always had something like this in retail. Why is this like the hottest thing in the investing world right now along with grocery delivery and the metaverse and i say that as someone that has a firm hooked up at the e commerce company that i own works well for us but if someone could explain the economics behind this boom what investors see in it where the margins are. I'd be much obliged..
The Peter Schiff Show Podcast
Robinhood Sold IPO Shares to Over 300,000 of Its Customers
"That have the most to lose and speaking of stocks. That have a lot to lose. I want to talk about the ipo of robinhood. This was one of the more highly anticipated. Ipo's after all this really encapsulates the entire you mean stock investing theme where the public is just buying everything no regard the fundamentals pure gambling in fact a lot of people have taken their stimulus money and deposited directly to their robinhood accounts. And of course robin hood was at ground zero for the game. Stop short squeeze in fact. A lot of people were upset at robin hood when they halted the ability of people to buy a game stop or the leverage up to buy game. Stop so there was a lot of people focusing on this. Ipo they supposedly have democratized. Investing course robin hood is not about investing at all. It's about speculating. It's about gambling if anything that's all they've democratized and they're not helping the little people rob the rich right. That's the whole name of robinhood is where you're taking from the rich and you're giving from the poor will what robin hood actually does is. It helps the rich take from the poor because the people who are losing the customers or the people who have accounts at robin hood because they're not actually the customers. Those people are the product. The customers are few hedge funds that are buying all the order flow. So they can trade. Against all the robin hoods right so all the mary men who have got account robinhood are losing a bunch of money and the people who are making. The money are the rich sheriffs who own these hedge funds. The reason they're buying all these orders is because they're making a lot of money off them because the people that have robinhood
CNBC's Fast Money
"robinhood" Discussed on CNBC's Fast Money
"Debut shares the online brokerage falling more than eight percent from its ipo price. Cnbc's leslie. picker joins us with the details. Hey less pay melissa. That decline comes after robinhood price its shares at the low end of the range so by most measures a pretty disappointing debut. Thanks to luke. Warm investor sentiment both from the institutional and the retail side which includes its user base. Now robinhood broke into the mainstream this year amid the means stock mania surrounding game. Stop and anc but it also drew in a fair share of controversy if you were called the apex when ceo. Vlad tenant was hold in front of congress while at least virtually to discuss the company's decision to halt trading in certain names now that notoriety didn't stop users from signing up with robin hood nearly doubling its net cumulative funded account since december that kind of growth plus the robin hood brand in the retail trading spaces the bulk of the bulk case but the bear case which really took center stage today encompasses the multitude of regulation and litigation risks and the likelihood that it's revenue declines as the popularity of trading things like doj coin for example fades volume today massive melissa with more than one hundred million shares trading hands. That's nearly twice the offering size. Pretty remarkable on the volume standpoint. Maybe not so surprising. Considering the retail investors got their hands on on a big portion of this compared to other. Yeah leslie thank you. Leslie picker on dan nathan. Do you think this lackluster debut is any sort of a verdict on the future of this retail investor boom on robin hood and its ability to continue the way it is in terms of the concentration of revenues and payment. For order flow for instance. Yeah i think concentration revenues payment for order flow but then also crypto and we know that those q. one results we saw that disproportionate amount of does coin trading. I mean those are not things that i think. You're gonna want to bank on anytime soon. I guess the thing that i struggle with this company is that you know what exactly did they. Innovate on. It was just the democratization of a trading tools. Because they're all out there that sort of thing. So when i looked at that s one and we talked about it on the show a little bit. I just thought the average size of the accounts in the in the sort of trading that they're doing. It's not likely to be the sort of thing that i think is able to build onto there and after they're gonna have to offer a lot more services and grow with these clients if those clients balances do gross so to me is it a referendum on. Maybe what people think about their near term opportunity. Yeah that could change pretty quickly. But it's just not for me even down ten percent from the list. I mean in terms of what they revolutionized what they did revolutionize was that they brought the other trading platforms down to zero dollar commissions. I mean that was revolutionary at this point in time when most of the trading platforms have matched that proposition. Though guy is there anything else. Revolutionary about robin hood. And your your opinion to just set it mean. The name is revolutionary. I mean the way. Listen it's not mainstream wall street right. It's a complete twenty twenty one thing and they got the whole. Wsb reta crowd behind him. But you know you. What's that thing. Diamond hands apparently you something you don't let go. But when this stock opened around noon or so traded forty bucks ish twenty minutes later literally. It was trained thirty three not a lot of diamond hands there. That's as poor first half hour. Forty five minutes is you're gonna see so are they. Revolutionary in some aspects. Yes but in terms of what they provide. Not all entirely i think. Danny moses called me before you know. Danny he said that this was now i think the worst performing ipo of its size since m f global. That's that's that's pretty interesting stuff. Yeah let's not get too early robinhood investor. Tim draper founder and managing partner of draper associates. Tim great to see you again. Grid great to talk with you. I don't get to see you but you just have to ask you. Did you sell any of your robina chairs today or do you intend to near shooter. Not a single point. Isn't that i'm on a show called fast money because i'm the slowest money there is i. I made my investment in robin hood. Eight years ago and still a still holding on very excited about what these guys have done and what they're doing for society. I mean they got all these retail investors involved in the stock market. The stock market drives all of that incredible value. It drives creativity. Gets people fired up. It gets them all on board to build progress for humanity. It's amazing we learned so excited we. We always like to see more people involved in the stock market. That's for sure tim. The more the merrier We think but in terms of robinhood growth. I mean robin had really caught lightning in a bottle. This year. we had the pandemic with people with stimulus checks. We have people at home. We have people facing financial hardship looking for other ways to earn money. All of this contributed to the massive growth that we saw in accounts and in the activity of trading. Why should we believe that that is at all sustainable going forward. I think once people get the bug and they wanna be investors. I think they want to stick with it. It's a great way to put money to work. You know people go go to casinos in every dollar they put in lose about five cents every minute or two but in the stock market every year they generally on on the whole grow fifteen percent a year and that's been true for one hundred years so so i think there this is a very positive thing for more people to get involved and whether it was the pandemic or whether it was just robinhood free or giving fractional shares. Whatever it was it has brought more people into the investment business. And i think that's only positive. Aren't you worried about the concentration of romney's coming from payment for order flow. What is certain here. Is that payment for order flow. Even though it is existed for a very long time it is something that that many of the other online brokers also.
Squawk Pod
"robinhood" Discussed on Squawk Pod
"It for house. Financial services committee hearing on the decision in the mean. Merry-go-round isn't it true. That being concerned about careful to meet your requirements isn't that a liquidity. Could you just answer. yes or no woman waters. I appreciate the opportunity to address that we always felt comfortable with our liquidity. And the answer. Yes or no we always. I don't have time this lead. Yes i stand by my statement. At the time of this podcast robin hoods potential market. Value is thirty two billion dollars. It's expected to open under forty dollars. A share now the muted pricing could be a reflection of lukewarm investor. Sentiment that maybe there weren't so many clamoring to get in to buy shares the way you'd expect a high growth venture back uniform and such buzz and maybe it's an attempt to be more cautious. There is risk of regulation and litigation or robin hood's revenue could decline as the popularity of trading things like doj coin fades or post covert. Life leaves less time for day trading. Let's get back to andrew. Probably we thinking. This is the biggest biggest. Ipo facebook. i don't know about. I don't know in size in terms of cultural significance. Held navy zeitgeist. It you remember facebook. Every italian investors as well number facebook went down. And i remember getting some texts from really smart. People saying you guys really made a big deal out of this facebook thing and now look what happened for the first time. We're going to actually see the numbers. We're going to know whether they're actually doing something on tour doing something that you wouldn't want them to be doing. This is going to be the great reveal that there was this logjam of order flow really at the opening of traders experiencing problems. Changing cancelling their orders ahead of the facebook. Ipo now look reliable. You know that's always the thing. Even there's i have gone terribly. Go back and look. I don't save. It's terrible but i remember when pinterest its ipo. And it was. I don't even know what the price is. But now it's you know four or five times that you're you're to later. Maybe that's a pro. It'd be that provide some interesting support for robin hood. Because they price it at the low end right. So that's how good so the stock app buck. Trading app pricing is at peo thirty dollars per share last night. That was the low end of the expected range. The range at that point was thirty. Eight to forty two dollars company raising close to two billion dollars in its offering it's valued now at about thirty two billion dollars all in the co founders of the company each sold about fifty million dollars worth of stock themselves personally. But what's what what what shows they say we wanna price at the low end because we want it to be a really good day for everybody so we you know we could've price at the time. Okay do you believe that. Maybe okay. i'll the other thing they say you know. We're given so many individual investors access to getting in on the ipo price. It's unclear what that's gonna mean. But i thought all robin hood types and read it types. Were steel what are they diamond hand. They hold stocks. That are worth like pennies. They hold them when they're worth one hundred and fifty dollars a lot of times right so do they. Maybe they don't maybe it isn't a different type of because they're not gonna get flipped. Actually a normal. Ipo gets a lot of flipping. Maybe there won't be as much so that's a question. Just the retail audience flip are not and does the institutional money come into us investment like this because they say themselves the retail money's smart money or they think the retail money's del money that sort of the underlying question i think as they're trying to figure out who's going to get these shares already can make the argument. Burt not smarter dumb. But valuable money right. Which is what we know from watching. And i know you've been covering it so closely just going back to game. Stop and everything. That happened back in january. How valuable that payment for order flow is when it comes to retail investors trades right But you guys mentioned facebook. Back in twenty twelve and facebook did go public. They sold about twenty five percent of the ipo individual investors to. We did see how how things went out on that day. Cloverdale facebook opening portrayed now it is officially public companies. Who's not the kind of day most people expected glitches or no glitches millionaires and billionaires. Were admitted to that. There have been some other examples where you've had these larger allocations retail investors. It hasn't always necessarily least on day. One and the smoothest ride but it was a two thousand twelve way two thousand twelve twelve nine years ago. My friend dies nine years. Went that quickly. do you remember. It was like remember mark zuckerberg they they they run from out at. Hq not our hq but Facebook they each one of first times. I'd seen them do this. Sort of remote opening of the exchan- this pandemic been time dilation. Although there's other things where it's been time seemed longer it's really screwed up our whole a two years ago pretty fast. Where did it go. We've been dealing mask. And all this crap but i can't believe it's been nine years because i remember getting that email from people say you know you guys. You guys really were hyping this thing. Now it's down and we didn't hype it. It was worth fighting. It was a big story. Just like this song. No one can deny morgan. That robinhood has an unbelievable future. Wouldn't you say that as a as a an a public entity. I think it has a fascinating future. It should have a very good future. The only thing that. I don't know i think this sort of big question is how do you think of robinhood relative to a coin base relative to td ameritrade and or any any of the others who of brokerages and do they all start to look like each other over time. And what does that do now. Robbins brand i think unto itself has has is sort of a special sauce. There and the question is how can you keep that special sauce. Going and to your point there. Is that debate. That argument out there ahead of today's debut that robin hood is currently overvalued based on something worth twelve billion based on those comparables of other online brokerages and the lake right now sort of swirling in the next two but Overall i mean it is part of this bigger broader storing. Been covering about this sort of idea. And i mentioned facebook nine years ago but in general This thinking outside of the box public offerings are concerned whether it is giving more shares to retail investors out of the gate or whether it's direct listings respects everything we've been talking about this idea of being able to engage more people more broadly in this process. So but the question is right now. We're just looking at the market this morning. Do you look by the way you see the dual dual lingo yesterday. Up thirty six percent. On the day so i think there's a lot of people inside sort of peel. Land that are thinking okay. This might have a shot to the the window. A great appeal window environment. If there's problems with this. And i don't know what that i mean a lot more than. What was it a year ago. And what's it being valued at the day three times. Start three times but it makes for interesting. This is why we do this right as asked me why i ask myself. Why your washing shares of facebook. Speaking of those are under pressure this morning. Social media giant beating the street on with the top and bottom lines and the latest quarter's really blow out. The company is warning. Investors however that revenue growth is expected to slow significantly in the second half. Ceo mark zuckerberg on the conference call last night. Had this to say businesses so large that. It's going to take a long time before anything that we do with. Commerce is going to be particularly meaningful at at at scale. But i think overall the the strategy is really to work our way down the funnel from From discovery and and all the things that were already world class that with that to making it so that those add increasingly point to shop across.
CNBC's Fast Money
"robinhood" Discussed on CNBC's Fast Money
"Closing just about the forty five dollar level shares are now down more than twenty percent in just the past week. The stock still seeing huge activity among retail investors as robinhood gets ready to go public. Check out this headline splashed across the front page of the wall street journal today robinhood save. You is clouded by sec. Scrutiny for payment for order flow journal pointing out the payment for order flow accounted for eighty one percent of robin hood's first-quarter revenues and our next guest warns. It's a serious issue that is putting retail investors at what he calls an extreme disadvantage. Dennis kelleher is a cio. Better markets a nonprofit that promotes the public interest in the financial markets. He has testified on capitol hill earlier this year in the wake of the game stop frenzy. Dennis great to have you with us. What do you mean by extreme disadvantage. Why why because. Because the likes of us adele avert to say best execution for the customer best executions their profits in worst execution for the price that the retail traders. You're paying the problem of payment for order flow. This a conflict of interest between the robin hoods of the world and their retail clients and the owners of robinhood which one to maximize profits which come for payment overflow if you think about it this way every order that retail trade places with robin hood or the others who accept payment for order flow. They take a cut and that cut. is basically added to the price of the stock bought by the retail traders. But it's even worse than that because the t. firms like citadel that bindi floor taking their cut to two robinhood gets a cut sitting gets a cut. Wish that money coming from. It's coming from the pockets of the retail trader and that's why payment for the flow up. So you're making a distinction between best price and best execution because what. The retail investor gets is free trading commission trading. Right they have to robin hood. E-trade all those guys. They're not charities within the they don't get free trading. This is the problem. They brag about commission free trading but retail traders free trading. There's nothing free on wall street and you all know that better than anyone there. What used to be an upfront. Clearly visible fee. That they paid in a commission for trade is now hidden disguised undisclosed. And that's the cut the robin woods. You taken the citadel's you're taking and the retail trade has no idea what they're paying for that's thought because it's buried in detroit of the stock and that's one of the fundamental problems. And that's actually why robin hood ahead to settle with the sec. Sixty five million dollars last december and that of course they just settled again for seventy million dollars with fenra so what they really deserve as best execution which should be the best available price at the time period. And what the citadel's in the robin hoods of the world have done is they've claimed that the n. b. b. o. Is the best price but everyone on your show knows that the mvp oh is an artificially widespread. There's an inside the spread that everybody else gets. Nobody pays the mvp. Oh so when robin hood and sit. I'll say oh doing great by the retail traders by giving them price improvement based on the mvp. Oh it's an artificial misleading number. That's disguising how much money is being taken out of the pockets of retail traders that assum apologists for the firm's. You're talking about by any stretch. But i'll take it back fifteen years when you know. The the brokers were buying stocks at a quarter filling their customers that half. I mean i would submit maybe incorrectly. That the playing field has never been more level for the retail investor. And what you're talking about. Although probably factually true is infant tessema when compared to what this was a decade and a half ago. But that's like saying you know cars. Ten years ago cost twice as much but now there's so much more efficient and it's just that's not the right comparison. The comparison is today. The law says retail traders should get best execution period. And now what has happened. Is that these inside. Players who are making a fortune off of retail traders have defined best execution as the nba. Oh knowing that that's not the best available trade. At the best available price at the time and pocketing the difference in not disclosing it and indeed bragging about the fact that they're giving all sorts of money to retail traders. It's fundamentally misleading if not outright fraud and it's happening a day every day and it's costing retail traders billions and billions of dollars so a there should be full disclosure across the board so retail traders. Actually know what they're paying for the stock thereby and if they can't do that they should outright banned payment for the flow. But the easiest thing the sec to do nothing's easy. I know but the easiest thing is for them to define best execution as the best available price at the time that will address the conflicts of interest and the dark side of the market will also address maker taker and rebates in the lit side of the market and it should move liquidity back to the left side of the market which should reduce spreads which will be good for all traders. And by the way. It'll be good for capital formation at the at the heart of this danis. Is this notion that that's so much volume is happening. Off exchange either via wholesalers or the dark pool and that there isn't accuracy in price from so much of the volume is actually happening off exchange and the prices that we see you know scrolling across on the ticker are different. You know it's it's it's lit market so it's it's you know half the volume Is that is that. The root of the problem is that part of this. Well a big part of the problem with just unintended consequences from a law. Cash in over a decade ago called reagan. Ms but what we have now is about forty seven percent of all the equity traits to their happening on the dark side of the market and that means the lead side of the market has much wider spreads because it is much less liquidity. And what's even worse is that in the lit markets the exchanges to compete with the dark pools the internalizes the high frequency traders the lead markets engage.
This Week in Startups
"robinhood" Discussed on This Week in Startups
"Great job this year. Supporting independent media like this week in startups in. I truly appreciate it okay. This is a classic yum yum for jake. How and yum yum for you the listener. Perhaps you have a robin hood account and you'll be included in this groundbreaking revolutionary ipo earlier today. Robinhood filed their s. one document. You file you're going public with the sec. This means they're going public soon. They didn't indicate the target valuations but plan is to raise one hundred millie in the ipo. And as i said in the opening they're gonna give or planning to give twenty to thirty five percent of the shares to retail investors. This is an extraordinary event in the history of companies going public. They're going to trade under the ticker hood which is super cute dollar. Sign h. o. o. D. is going to be pretty popular on twitter. Going forward some highlights. They've got twenty one hundred full time employees and their twenty twenty full-year revenue nine hundred fifty nine million dollars almost a billy up three point five x from two hundred seventy eight million in twenty nineteen obviously the pandemic very good for robinhood. They broke even in twenty twenty even recording a seven million dollar profit. Losing a meager hundred six million in two thousand nineteen compared to other startups on this scale. You she people are burning through money. Twenty twenty s q one revenue five hundred twenty two million dollars. That's four x from the time period last year. Q one of twenty twenty revenue was just one hundred twenty seven point five million and if you were times that number by four and assume no growth puts them out over two million dollars in revenue. Obviously they hope to grow quarter after quarter three hundred. Thirty one million of twenty twenty s q ravin revenue was payment for order flow that sixty three percent of their total revenue. If you don't know what payment for order flow is a little bit cau- controversial where a different brokerage firms pay a fraction. I think it's a very small fraction of a penny. Or maybe even a penny for your deal flow. That's why they can afford to give you free. Trading that's the concept and robin hood lost one point four billion in q. One of twenty twenty one which according to the s. one included a one point five billion fair value adjustment to their convertible notes in warrant liabilities. That's mechanics around shares that were given Most of the losses are going to be attributed to that game stock fiasco in january where everybody started buying shorting stocks and it was just chaos and they had to halt trading and they had to raise that billion dollars in a cash. Crunch robin hood reported. This is the most important number for me. As an investor in high-growth startups eighteen million funded accounts with seventeen point seven million monthly active users. Wow funded accounts means. They have a bank account linked to them. And if you look at the year-by-year funded accounts chart all the way from twenty thirteen which i invested shortly before that to twenty twenty one. It is unbelievable. The slope is what all startups dream of. This is an airbnb uber. facebook google like slope. It is just up into the right and you see these inflection points happen as the company becomes more and more popular. This is one of the things about startups. You know. if you survive you can then hit a tipping point whether it's you know something that is bittersweet like this game stock you know fiasco where people are shorting stocks and buying them because they're part of mean culture in on reddit thread and people go to war over shorting. It's crazy over. Fifty percent of the users are first time investors. That is amazing. This means robin hood is the future of finance. They're getting the new investors. This bodes really well for them over. Eighty percent of these users were were acquired. Organically through referral. This is one of the most brilliant things that they've ever done They told me about this in the early days that they would give a free stock to people who signed up. Or if you're first somebody. In fact i referred so many people by tweeting. They kept me at some number. It might have been five hundred dollars in stock or maybe five hundred people. I can't remember so they've had unbelievable growth and as i said during that time period when they were having problems i said you know i. Th- reminds me a lot of the days of uber when they had surged pricing and there was a big controversy around it sometimes accompany hits an inflection point and they're just unprepared for that amount of activity and that is ultimately a good thing because you wind up having a whole bunch of people find out about your service embrace it use it etc now. It's painful in the process to not have enough cars on the road. Not have enough airbnb for people to stay in. The there are bumps in the road when you make an omelet you gotta crack some eggs. It is difficult to be a founder of a high road startup and what matters is not that you have these moments where your trip you fall you stumble. You're misunderstood things break. It's that you get back up and you fight and you fight and you fight to learn from your mistakes and to build a better service okay. So some more highlights of the insane growth from the first quarter of twenty twenty two. The first quarter of twenty twenty one monthly active users doubled from eight point. Six million to seventeen point seven million. Just let that sink in any year they doubled. The number of monthly active users to chart is bonkers looking We'll put that. If you're watching on youtube you'll see it..
Equity
"robinhood" Discussed on Equity
"As well as the crypto winter bought a summer during the winter when there was this frenzy in bitcoin and a lot of other token suit. What amazes me to see. Two major fintech companies focus on democratize finance. Doing extraordinarily well. Everyone's engaged the growth is off the charts but there are a couple of hangups both regulatory and also in the company's revenue concentration so let on the regulatory point before we get into the the revenue stuff just as a reminder yesterday on wednesday robinhood at the seventy million dollar collection of fees and payback's by finn rights regulatory body if you will and so people were asking on twitter including our own very dear. Natasha who should be on vacation but was still on twitter. She was like why would you file on us won the day. After you've got hit by huge fine my regains that they were just chomping at the bit to get us one and that was the last piece of trash. They take out before they could have their party. A seventy million dollar. Find from the sec. And this was clearly a blocking transaction for filing the one right to the sec has to approve that s one robinhood do clearly was in communication with the sec and realized that was absolutely going to block them. And that's not. The only thing they did was also pointed out in the ipo filing that the twenty year old trader who unfortunately committed suicide from his transactions on robin hood settled for seven hundred and thirty thousand dollars according to the s. one so the companies also announcing that cheap the company. Obviously it cleared up a bunch of its regulatory challenges. It's also worked with the ftc and some other agency bodies over the last couple of years to sort of clean up. But there's a couple of other challenges. One is clearly revenue concentration alex. The county makes a lot of money from citadel. Yeah if you wanna follow along at home and i always really recommend that you find undocumented pull it up and just scroll through it. It's always educational experience. And it's really. How danny and. I don't false to provide in the finance world if you do pull the robin hood s blonde. Scroll down the page. F dash ten. And you see a very interesting kind of risk factor called concentration of credit risk and essentially. What we're looking at here in this little table is how much money robin hood makes of its total revenue from different market makers and there are four of them to have greater than ten percent of robin's revenue generation and the most important one. As you can quickly see is citadel. It was twenty nine percent of robin revenue in two thousand nineteen which rose thirty four percent in two thousand twenty so more than a third of its revenue from citadel..
Big Boy's Neighborhood
Robinhood Fined $70 Million for Misleading Customers
WSJ What's News
"robinhood" Discussed on WSJ What's News
"Investing in a company through an ipo has been traditionally left to seasoned investors. Explain to me how this new feature on robinhood would work. Would it be just like buying a stock on the app. So it'll be a little bit different than buying stock on the app. You know stocks like apple or facebook. I can go on rama today. Had by and those orders show up and my account pretty much instantaneously for a stock. That isn't yet public. You don't know what the price is yet. So you can put in some indications of interest with robin hood sign up for the ability to buy at the ipo price. But you don't actually know what you're going to get until they get the whole orderbook. The bank so is not a guarantee that you're going to get any of these shares. It's going to be on a kind of more randomized basis than if i can just go on the app and buy whatever sure i want. So it's it's a little bit more uncertain and here's the thing before a company goes public. They often do a road show where they go around telling the investors how great their company is in an effort to drum up support. How will this look for. Retail investors will retail investors problem. Get the invite to the same conference room or virtual conference room to get the presentation directly from the ceo. So on robin hood you You get an alert when there's a new. Ipo that's going to be Added to its ipo access center. And i should add that. There are other companies currently that are looking to also expand. Ipo access so fi Is one that has a couple issues on its platform to And i it's mostly. It's a little more impersonal. I would say but You know a lot of the companies that are choosing. This are of name brands already. So robin hood has helped place. Shares and the ipo figs a medical scrubbed maker last month. In a couple of weeks time it will place shares and the ipo of duo lingo the popular language app. So it's it's really appealing to companies. That already have kind of broad consumer awareness such that maybe a road show Isn't the first time they're going to be hearing about it. One thing we've talked about recently is the concern. Among robin hoods critics who say it's chew easy for everyday investors to lose money on the app. What's the risk with investing in an ipo will investing and ipo is are inherently riskier than investing in stocks with like a long trading history right. There's just no indication of how it's going to trade it in future because it's not really treated in the past So robin hood like other brokers need to ensure that customers only customers who have the right sophistication net worth risk tolerance or investing in these issues. I think there's a perception that you know. Ipo's only go up. you know the journal. We we often read about the first pop of you. Know ten percent or twenty percent or fifty percent and people might get the impression that investing in. Ipo's is easy and that. i only go up. But that's not the case. I think just a few months ago. We had an ipo in london. Deliver ru Popular who delivery company about five percent of the shares in that offering replace retail investors and that stock fell twenty six percent on on the first day. So i think you know. People are often cite the ease. That consumers can get in over their their with stocks. They don't understand on robina just because they make it so simple to trade with. Ipo's that that risk is magnified because The the no one really knows what they're going to do on the first day or first week of trading as we know robinhood itself is looking to go public according to people familiar with its. Ipo plans it plans to set aside as much as thirty five percent of its shares for individual investors. That's a much larger allocation than usual. So peter will you be able to buy robinhood through robin hood and how could this shape. Its own ipo. Well that's the plan Robinhood has mission. They term democratizing access to financial markets removing barriers. As we've discussed it has been a barrier for retail investors to get access to these. Ipo's historically so to eat their own cooking. you know. They believe that they wanna put a good chunk of their own float on their own platform to sell their users You know this is anticipated to be one of the hotter. Ipo's of the year. Robin hood raised billions of dollars in venture capital and just a few days earlier this year when it when it needed more financing. So there's going to be a lot of demand Among professional wall street money managers to get an allocation of this. So robin hood is kind of choosing between kind of placating Investors mutual funds hedge funds that are traditional investors. That a lot of companies want to to be kind of the by the whole type with this kind of you. Know retail customer base in this. Ethos that they have cultivated themselves over there many many years in existence. Peter aguirre new york peter. Great to talk to you. Thanks for having me and finally it's not just athletes or c. suite executives that are being offered signing bonuses. Here's the wsj's patrick thomas. It's pretty desperate out there. And that's why we're seeing a lot of these fifteen hundred two thousand three thousand dollar bonuses because it is pretty crazy out there and employers really need people any restaurant you talk to is just about dying.
Bloomberg Markets
Robinhood Ordered to Pay $70M for 'Significant Harm' to Consumers
"Has been ordered to pay about $70 million for systemic supervisory failures. This, according to a statement from FINRA that is the financial industry Regulatory Authority. It said again in the statement that had found that Robin Hood has quote negligently communicated false and misleading information to its customers during certain periods since September, 2016. Again. It has been fined
The Breakdown with NLW
PayPal Will Let Customers Withdraw Crypto
"Pal to allow withdrawals. Here's one thing that's great to see become normalized. When many of the first set of traditional fintech apps and services got into bitcoin crypto. They blocked the ability for users. To withdraw their crypto is of course pretty directly contradicts. The self sovereign does that drive this market. This has now started to shift robinhood reasonably made the switch to allow users to withdraw and yesterday pay pal committed to this as well speaking consensus yesterday. A pay pal exact said quote we want to make it as open as possible and we wanna give choice to our consumers something that will let them pay in any way they want to pay. They wanna bring their crypto to us so they can use it in commerce and we want them to be able to take the crypto. They acquired with us and take it to the destination of their choice to me. This is a clear example of community values and social pressures shaping. The nature of services. So big win for the home team here.
Daily Tech News Show
Robinhood Will Give Retail Investors Access to IPO Shares
"The stock trading app. Robin began rolling out. A new feature called ipo excess which lets users by initial public offering shares typically reserved for institutional investors. There are no account minimums to use ipo access and the medical scrubs company. Figs will be the first company to sell. Its ipo shares on
Geek News Central
Robinhood Will Give Retail Investors Access to IPO Shares
"This is pretty remarkable statement. Being made by robin hood in reap ravenous saying it will give retail investors access to those shares they will not be an underwriter for companies hitting the public market but the stock trading company will get an allocation of shares by partnering with investment banks. So the question is how much and who's actually robinhood going to get them. And i could share historically been aside for you know the rich and famous high net worth people this big so this is fantastic that they're starting Access and This would sway me a back to their app especially even participate with no account minimums. Now let me say that again. You can participate in that coming with no account minimums now. of course there's gonna be limited number shares. You're going to get but this move is probably going to be antagonized while street quite a bit and we know that. Ipo stocks hop on first day average is thirty six percent in two thousand twenty so individual best author. Somebody's popular names. That you can't get access to is exciting i will i will. I will double down this. If we're actually can get in on some aikido doesn't matter how many shares you get long as you get a few to worthy worthy investment. Most of the time. If you've done your due diligence on picking a stop that you wanna purchase but a biggs is going to be the first ipo. A medical scrubs company bigs which filed its. Excuse me if i were to go. People go public and thursday will be the first company and they anticipate that up to one percent of the shares of class. A common stock offered will be at will be available for robinhood investors. So that's fantastic news. It really really is
Daily Tech News Show
"robinhood" Discussed on Daily Tech News Show
"Url the features currently limited to desktop an android devices but eventually both creators viewers will be able to create clips by clicking on the clip icon and samson reported overall revenue. Grew two point eight percent on the year in. Its q four to sixty two point. Fifty five trillion korean on about fifty six point four billion. Us dollars even as revenue from its mobile. Division fell eleven percent on the year quarterly. Profit was up twenty six point. Four percent in the year driven by the highest ever quarterly earnings from its display division and strong demand from its memory business although q for profits did fall. Twenty six point seven percent compared to q. Three all right. Let's talk a little bit more about the game. Stop saga which has really evolved quite a bit. Since we talked about it yesterday we had marketplace tech. Molly would onto tell us a little bit more about short selling stocks and what was really going on with the game. Stop situation how. A sub reddit had driven a lot of retail investors to try to kind of take on the old hedge fund community and it's messy. It's messy so years where we are at least recorded at this point today. The stock trading app robin hood confirmed that it plays trading restrictions on several stocks included game. Stop also amc amc theaters blackberry costs and nokia letting users close or sell positions but not by new shares. So it effectively. Kind of made the whole thing plateau which might not have organically otherwise a pop up on robin hoods homepage said fifty six percent of its users own. At least some game stops stock. Which gives you a sense of how many folks were actually participating in this In other robinhood news. A class action lawsuit. This is probably the first of many has been filed against robin hood in the southern district of new york and it reads robin hood purposely willfully and knowingly removing the stock g. e. from its trading platform in the midst of an unprecedented stock thereby deprived retail investors of the ability to invest in the open market and manipulating the open market justin. I know you've been following the story. It's a wild one. What do you make of this will. The there is no doubt that this is an absolute seismic change in terms of how a retail investors are going to treat themselves. But the big change here is that we've seen punitive action. Come in not only from robin hood but also from weibo which was another trading platform. That people left robin hood to go to when they made this decision and the larger question is exactly why they made this decision. A lot of questions. On exactly a whether or not robin hoods parent. Company has some financial stake in this game and whether or not they were protecting their own interests here. This is a meam that liquidated so much money from hedge fund that now we're seeing what happens when those folks who by the way are not only billionaires that run things like that but those are. That's billionaire money. That goes into the hedge. Funds that are making that are that people are trading for. Were going to see. Exactly how loud day can rattle these chains and and what we've seen over the past couple of days is pretty loud. What's interesting to me is seeing this go from being a red it story to kind of because of the amount of money..
Daily Tech News Show
"robinhood" Discussed on Daily Tech News Show
"All right. Let's talk a little bit more about the game. Stop saga which has really evolved quite a bit. Since we talked about it yesterday we had marketplace tech. Molly would to tell us a little bit more about short selling stocks and what was really going on with the game. Stop situation how. A sub reddit had driven a lot of retail investors to try to kind of take on the old hedge fund community and it's messy. It's messy so years where we are at least recorded at this point today. The stock trading app robin hood confirmed that it plays trading restrictions on several stocks included game. Stop also amc amc theaters blackberry costs and nokia letting users close or sell positions but not by new shares. So it effectively. Kind of made the whole thing plateau which might not have organically otherwise a pop up on robin hoods homepage said fifty six percent of its users own. At least some game stops stock. Which gives you a sense of how many folks were actually participating in this In other robinhood news. A class action lawsuit. This is probably the first of many has been filed against robin hood in the southern district of new york and it reads robin hood purposely willfully and knowingly removing the stock m. e. from its trading platform in the midst of an unprecedented stock thereby deprived retail investors of the ability to invest in the open market and manipulating. The open market justin. I know you've been following the story. It's a wild one. What do you make of this will. The there is no doubt that this is an absolute seismic change in terms of how a retail investors are going to treat themselves. But the big change here is that we've seen punitive action. Come in not only from robin hood but also from weibo which was another trading platform. That people left robin hood to go to when they made this decision and the larger question is exactly why they made this decision. A lot of questions. On exactly a whether or not robin hoods parent. Company has some financial stake in this game and whether or not they were protecting their own interests here. This is a meam that liquidated so much money from hedge fund that now we're seeing what happens when those folks who by the way are not only billionaires that run things like that but those are. That's billionaire money. That goes into the hedge. Funds that are making that are that people are trading for. Were going to see. Exactly how loud day can rattle these chains and and what we've seen over the past couple of days is pretty loud. What's interesting to me is seeing this go from being a red it story to kind of because of the amount of money. That's that's at stake seeing this kind of reverberate. Obviously there were numerous affected hedge fund. You know And molly we talked about that yesterday on the show and and kind of that the financial impact side of this boat seeing the tech platforms. React to this. I think has been really interesting. An how robinhood goes forward from this. We already saw. I even hesitate to call it a losing a ton of goodwill but they file a settlement early this year effectively deceiving a they probably something with jesse about deceiving customers about you know what they were charging for transactions and stuff like that. Obviously this is several orders of magnitude bigger. A problem for their imaging for an app called robin hood two seemingly a b. halting trading on on something like on these you know mean stocks. Or whatever you want to call them. I also i don't understand all the other ones but costs is a weird one to make just on a personal side. All of these are shorted stock. So this is where all of this all of this began was on a list of the most shorted stocks on the market Stop was number one and it was insane short. I'm sure there's a few people who had loved game stop to come back and like change their business model it'd be successful but mostly it was. Hey this is a great way for us to make money. There is not an also. There was not enough stock for the hedge funds to buy back and so if everybody bought the stock it was going to rise and that was there was no way for it to stop all those other companies. That you've seen blackberry. Nokia cost tootsie roll. They are all there because they were also on that list of the most shorted stocks. That's the only connection between all these things. I thought it just a coincidence. These are all style. Gic brands big emphasis on nostalgic. As in. yes you have you know. Maybe the heyday has been over for some time. It's interesting watching the Spirited debate online about robin hood but about you know any d- trading institutions that have halted trading of all the stuff saying. hey listen. Things are too volatile. We don't know what's going on. This is a little too crazy Nobody can participate for at least in the way that they want to make quick buck and so we figure out what's going on. you know. a lot of people are saying well. Who's who's who's leaning into robin hood what's going on here. Does do the hedge hedge fund people. And i'm using hedge fund just as the people who have a lot more money and have been doing this for a while. Do they just win. Because that's the way that it's been thus far and just more powerful And then other people saying thank you know robin hood's a start up you know you you you're using it for free i mean. Would you expect like this is easy. You didn't think it was just going to be this easy did you. So i think that story is just beginning because if the market can be manipulated so easily and read it is read. It is a very powerful thing when it wants to be but this happened all sorts of other
Daily Tech News Show
"robinhood" Discussed on Daily Tech News Show
"Url the features currently limited to desktop an android devices but eventually both creators viewers will be able to create clips by clicking on the clip icon and samson reported overall revenue. Grew two point eight percent on the year in. Its q four to sixty two point. Fifty five trillion korean on about fifty six point four billion. Us dollars even as revenue from its mobile. Division fell eleven percent on the year quarterly. Profit was up twenty six point. Four percent in the year driven by the highest ever quarterly earnings from its display division and strong demand from its memory business although q for profits did fall. Twenty six point seven percent compared to q. Three all right. Let's talk a little bit more about the game. Stop saga which has really evolved quite a bit. Since we talked about it yesterday we had marketplace tech. Molly would onto tell us a little bit more about short selling stocks and what was really going on with the game. Stop situation how. A sub reddit had driven a lot of retail investors to try to kind of take on the old hedge fund community and it's messy. It's messy so years where we are at least recorded at this point today. The stock trading app robin hood confirmed that it plays trading restrictions on several stocks included game. Stop also amc amc theaters blackberry costs and nokia letting users close or sell positions but not by new shares. So it effectively. Kind of made the whole thing plateau which might not have organically otherwise a pop up on robin hoods homepage said fifty six percent of its users own. At least some game stops stock. Which gives you a sense of how many folks were actually participating in this In other robinhood news. A class action lawsuit. This is probably the first of many has been filed against robin hood in the southern district of new york and it reads robin hood purposely willfully and knowingly removing the stock g. e. from its trading platform in the midst of an unprecedented stock thereby deprived retail investors of the ability to invest in the open market and manipulating the open market justin. I know you've been following the story. It's a wild one. What do you make of this will. The there is no doubt that this is an absolute seismic change in terms of how a retail investors are going to treat themselves. But the big change here is that we've seen punitive action. Come in not only from robin hood but also from weibo which was another trading platform. That people left robin hood to go to when they made this decision and the larger question is exactly why they made this decision. A lot of questions. On exactly a whether or not robin hoods parent. Company has some financial stake in this game and whether or not they were protecting their own interests here. This is a meam that liquidated so much money from hedge fund that now we're seeing what happens when those folks who by the way are not only billionaires that run things like that but those are. That's billionaire money. That goes into the hedge. Funds that are making that are that people are trading for. Were going to see. Exactly how loud day can rattle these chains and and what we've seen over the past couple of days is pretty loud. What's interesting to me is seeing this go from being a red it story to kind of because of the amount of money..
Daily Tech News Show
"robinhood" Discussed on Daily Tech News Show
"Url the features currently limited to desktop an android devices but eventually both creators viewers will be able to create clips by clicking on the clip icon and samson reported overall revenue. Grew two point eight percent on the year in. Its q four to sixty two point. Fifty five trillion korean on about fifty six point four billion. Us dollars even as revenue from its mobile. Division fell eleven percent on the year quarterly. Profit was up twenty six point. Four percent in the year driven by the highest ever quarterly earnings from its display division and strong demand from its memory business although q for profits did fall. Twenty six point seven percent compared to q. Three all right. Let's talk a little bit more about the game. Stop saga which has really evolved quite a bit. Since we talked about it yesterday we had marketplace tech. Molly would onto tell us a little bit more about short selling stocks and what was really going on with the game. Stop how a sub reddit had driven a lot of retail investors to try to kind of take on the old hedge fund community and it's messy. It's messy so years where we are at least recorded at this point today. The stock trading app robin hood confirmed that it plays trading restrictions on several stocks included game. Stop also amc amc theaters blackberry costs and nokia letting users close or sell positions but not by new shares. So it effectively. Kind of made the whole thing plateau which might not have organically otherwise a pop up on robin hoods homepage said fifty six percent of its users own. At least some game stops stock. Which gives you a sense of how many folks were actually participating in this In other robinhood news. A class action lawsuit. This is probably the first of many has been filed against robin hood in the southern district of new york and it reads robin hood purposely willfully and knowingly removing the stock g. e. from its trading platform in the midst of an unprecedented stock thereby deprived retail investors of the ability to invest in the open market and manipulating the open market justin. I know you've been following the story. It's a wild one. What do you make of this will. The there is no doubt that this is an absolute seismic change in terms of how a retail investors are going to treat themselves. But the big change here is that we've seen punitive action. Come in not only from robin hood but also from weibo which was another trading platform. That people left robin hood to go to when they made this decision and the larger question is exactly why they made this decision. A lot of questions. On exactly a whether or not robin hoods parent. Company has some financial stake in this game and whether or not they were protecting their own interests here. This is a meam that liquidated so much money from hedge fund that now we're seeing what happens when those folks who by the way are not only billionaires that run things like that but those are. That's billionaire money. That goes into the hedge. Funds that are making that are that people are trading for. Were going to see. Exactly how loud day can rattle these chains and and what we've seen over the past couple of days is pretty loud. What's interesting to me is seeing this go from being a red it story to kind of because of the amount of money..
Daily Tech News Show
"robinhood" Discussed on Daily Tech News Show
"Currently limited to desktop and android devices but eventually both creators and viewers will be able to create clips by clicking on the clip icon and samson reported overall revenue. Grew two point eight percent on the year in q four to sixty two point. Fifty five trillion korean won about fifty six point four billion. Us dollars even as revenue from its mobile. Division fell eleven percent on the year quarterly. Profit was up twenty six point. Four percent of the year driven by the highest ever quarterly earnings from this display division and strong demand from its memory business although four prophets did fall twenty six point seven percent compared to q. Three all right. Let's talk a little bit more about the game. Stop saga which has really evolved quite a bit. Since we talked about it yesterday we had marketplace techs molly would onto tells a little bit more about short selling stocks and what was really going on with the game. Stop situation how. A sub reddit had driven a lot of retail investors to try to kind of take on the old hedge fund community and it's messy. It's messy. So here's where we are at least recorded at this point today. The stock trading nap robinhood confirmed that it plays trading restrictions on several stocks that included game. Stop also that's for. Amc theaters blackberry costs and nokia letting users close or sell positions but not by new shares. so it effectively. kind of i don't know the whole thing plateau which might not have organically otherwise a pop up on robinhood homepage said fifty six percent of its users. At least some game stops stock. Which gives you a sense of how many folks were actually participating in this In other robin hood news. A class action lawsuit. This is probably the first of many filed against robin hood in the southern district of new york and it reads robin hood purposely willfully knowingly removing the stock g. e. from its trading platform in the midst of an unprecedented stock thereby deprived retail investors of the ability to invest in the open market and manipulating the open market justin. I know you've been following the story It's a wild one. What do you make of this will. The there is no doubt that this is an absolute seismic change in terms of how of retail investors are going to treat themselves but the the big change here is that we've seen punitive action. Come in not only from robin hood but also from weibo which was another trading platform. That people left robin hood to go to when they made this decision and the larger question is exactly why they made this decision. A lot of questions on exactly Of whether or not robin hoods parent. Company has some financial stake in this game. And whether or not they were protecting their own interests here. This is a mean that liquidated so much money from a hedge funds that now. We're seeing what happens when those folks who by the way are not only billionaires that run things like that but those. That's billionaire money. That goes into the hedge funds that are making that our people are trading for. We're going to see exactly. How laude can rattle these chains. And what we've seen over the past couple days is pretty loud. What's interesting to me is seeing this go from being a a reddit story to kind of because of the amount of money that's set you know that that's at stake seeing this kind of reverberate. Obviously there were numerous affected hedge funds. Molly we talked about that yesterday on the show and kind of that the financial impact side of his seeing the tech platforms..