Tuesday, September 27, 2022

Robinhood Shares Surges By Over 23% After FTX CEO Acquired A 7.6% Stake

On Thursday, FTX CEO and founder Sam Bankman-Fried (SBF) acquired a 7.6% stake in the retail investing app, Robinhood. And within 24 hours of the acquisition, Robinhood shares had already shot up by over 23%.

SBF Buys 7.6% Stake In Robinhood

As revealed by a U.S. SEC filing, SBF paid $648.29 million to purchase 56.28 million shares of Robinhood. Although the filing initially claims that an entity called Emergent Fidelity Technologies made the purchase, it also further mentioned SBF as the sole director and majority shareholder of Emergent.  

But even before this move by the crypto businessman SBF, something has certainly been going right with Robinhood. And this has brought about, the attention of many others including individuals like Bankman-Fried and firms alike. 

Recall also, that there were several rumors of an upcoming merger with popular trading platform Coinbase. However, Coinbase came out to debunk those, earlier in the week. 

But despite the fact that there’s a stock market plunge that might not be ending anytime soon, Bankman-Fried has made a bold move nonetheless.

Here’s What To Expect

The 7.6% stake acquisition by Sam Bankman-Fried is expected to usher in an era of more sustainability and reliability to the Robinhood project. But beyond this, it will also undoubtedly improve key indicators as seen with the current Robinhood share price.

Meanwhile, FTX remains one of the world’s top crypto exchanges, worthily rivaling the likes of Binance and Coinbase. That is, in terms of its products and services offerings.

Robinhood on the other hand may now be starting out in stock trading. However, it’s success story has to be linked with its crypto trading platform. Since the platform’s launch in 2018, Robinhood has had an undeniable fine run. Perhaps, an attestation of its success would be its crypto wallet, which is still in its testing phase but already has over a million customers queued up in waiting. 

Related Articles

Stay Connected

0FansLike
0FollowersFollow
2,050FollowersFollow

Latest Articles

%d bloggers like this: