

Robinhood has introduced droves of new people to the stock market. Other controversies swirl over role in GameStop frenzy Provided by House Financial Services Committee/AP Robinhood is facing a range of lawsuits and potential regulary action as it gears up to make its Wall Street debut. In this image from video provided by the House Financial Services Committee, Vlad Tenev, chief executive officer of Robinhood, testifies during a virtual hearing on GameStop in Washington, D.C., on Feb. Yet some users are on the fence about whether to buy any of its stock, even among Robinhood diehards. Robinhood, a Silicon Valley startup that has 22.5 million users with accounts linked to their bank accounts, is allocating more than a third of its shares to its users during its IPO, an unusually high amount that the company says speaks to its mission to empower the average investor. The share price would value Robinhood at around $32 billion. On Wednesday, Robinhood told its users that it is pricing its initial public offering (IPO) at $38 a share, at the low end of its estimated range. The tension looms as Robinhood is set to make its debut on the Nasdaq on Thursday under the symbol HOOD, raising the profile of a company that has become a household name during the pandemic – while also attracting intense regulatory scrutiny. Robinhood will make its debut on the Nasdaq on Thursday, just as state and federal regulators continue probes into the company.ĭepending on whom you ask, the stock trading app Robinhood has either democratized Wall Street trading or launched a generation of unsavvy investors who have become addicted to the promise of quick cash. 17, 2020 photo shows the logo for the stock trading Robinhood app on a smartphone in New York. " SEC Charges Robinhood With Misleading Customers About How It Makes Money.A Dec.

" SEC Charges Robinhood Financial With Misleading Customers About Revenue Sources and Failing to Satisfy Duty of Best Execution." Accessed June 6, 2021.ĬNBC. " Prepared Remarks at the Global Exchange and FinTech Conference." Accessed July 19, 2021.

" Robinhood Shares Are Soaring Just Like the Stocks That Trade on Robinhood." Accessed June 6, 2021. " How Robinhood Makes Money." Accessed June 4, 2021. " A Note from Our CEO." Accessed March 14, 2021. " Trading Curbs Reverse GameStop Rally, Angering Upstart Traders." Accessed Jan. " Robinhood Raises $13M to Democratize Stock Market With Zero-Commission Trading App." Accessed June 4, 2021. " Win The Stock Market With Crowdsourced Advice From New App Robinhood." Accessed June 4, 2021. " Robinhood App Will Offer Zero-Commission Stock Trades Thanks to $3M Seed From Index and A16Z." Accessed June 4, 2021.
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" Draft Registration Statement Processing Procedures Expanded." Accessed June 4, 2021. Confidentially Submits Draft Registration Statement." Accessed June 4, 2021.
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The duo had prior experience on Wall Street before launching Robinhood, having previously founded Celeris, a trading technology firm, and Chronos Research, which sold fintech software to investment banks. Robinhood was founded in 2013 by Stanford graduates Vlad Tenev and Baiju Bhatt.
