A fraction of Robinhood’s users are driving its runaway growth

A fraction of Robinhood’s users are driving its runaway growth

3 years ago
Anonymous $rH7oE7DjRg

https://techcrunch.com/2021/02/19/a-fraction-of-robinhoods-users-are-driving-its-runaway-growth/

Yesterday’s House Financial Services Committee hearing about GameStop and Robinhood wasn’t great. Reuters has a good summary of one its few interesting bits, a scrap between the elected inquisitors and Robinhood CEO Vlad Tenev regarding whether or not his firm had to raise additional capital to continue operations during the GameStop saga; TechCrunch has reported on the matter since its inception, though learning a little bit more was useful.

Lawmakers also managed to extract an interesting, if expected data point: the company generates more than half of its revenues from payment for order flow (PFOF), a controversial practice in which Robinhood is paid by market makers for executing customer trades.

A fraction of Robinhood’s users are driving its runaway growth

Feb 19, 2021, 4:31pm UTC
https://techcrunch.com/2021/02/19/a-fraction-of-robinhoods-users-are-driving-its-runaway-growth/ > Yesterday’s House Financial Services Committee hearing about GameStop and Robinhood wasn’t great. Reuters has a good summary of one its few interesting bits, a scrap between the elected inquisitors and Robinhood CEO Vlad Tenev regarding whether or not his firm had to raise additional capital to continue operations during the GameStop saga; TechCrunch has reported on the matter since its inception, though learning a little bit more was useful. > Lawmakers also managed to extract an interesting, if expected data point: the company generates more than half of its revenues from payment for order flow (PFOF), a controversial practice in which Robinhood is paid by market makers for executing customer trades.