CNBC is reporting the world’s third-largest cryptocurrency exchange by volume, FTX, is targeting stock trading startups for acquisition. According to CNBC sources, FTX has approached at least three stock trading startups with a view of acquiring them. The report says the talks are at an early stage and no term sheets were signed. A term […]
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FTX US announced on Thursday that the firm has launched an equities trading platform called FTX Stocks which will give U.S.-based customers the ability to purchase stocks and exchange-traded funds (ETFs). The launch is currently in a private beta phase for select U.S. customers and equities can be purchased with fiat-backed stablecoins. FTX US Launches […]
Trading platform Robinhood is launching a non-custodial, web3 cryptocurrency wallet. “Customers will be able to hold the keys for their own crypto,” the company said. Robinhood Building Non-Custodial, Web3 Wallet Popular trading platform Robinhood announced Tuesday that it is “building a brand new non-custodial, web3 wallet that will allow customers to have total control of […]
Retail trading platform Robinhood is launching a new non-custodial crypto and non-fungible token (NFT) wallet in the company’s latest push to embrace the digital asset space. According to a new press release, the trading titan has started developing a multichain Web 3.0 wallet that will allow investors to have total control of their digital assets […]
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Robinhood’s wallet will be non-custodial and multi-chain, allowing for the storage of NFTs along with the ability to connect to NFT marketplaces.
Popular trading platform Robinhood is creating a non-custodial crypto wallet that will be compatible with multiple blockchains.
The wallet will be a standalone application with the ability to store nonfungible tokens (NFTs) and connect to NFT marketplaces. A promo video released for the wallet shows a demonstration using Ethereum (ETH) based NFTs.
Trade and swap crypto with no network fees. A web3 wallet from us. Get early access: https://t.co/qonXj80BEB pic.twitter.com/qLjByPA4ty
— Robinhood (@RobinhoodApp) May 17, 2022
The app is a significant step for the company in providing crypto services. Prior to January 2022 trading crypto on Robinhood was a closed system with users unable to withdraw cryptocurrency.
On January 21 Robinhood opened up crypto withdrawals to 1,000 users allowing them to send crypto off the platform, that number was later expanded in April to the more than 2 million users on a waitlist.
Currently the wallet is limited by an identity verification process and only supports seven assets: Bitcoin (BTC), Bitcoin Cash (BCH), Bitcoin SV (BSV), Dogecoin (DOGE), Ethereum, Ethereum Classic (ETC) and Litecoin (LTC).
LimeWire, a peer-to-peer file-sharing website from the early 2000s whose brand is now owned by an NFT marketplace, has secured a deal with Universal Music Group (UMG) for artists to launch NFT projects.
In a statement UMG said the deal would allow its artists to offer NFTs featuring content such as audio recordings, bonus tracks, backstage footage, images and other exclusive material to sell to fans or collectors.
As part of this new partnership, UMG artists can now offer audio recordings, audiovisual content, backstage footage as well as other artworks as NFTs on the @LimeWire marketplace and sell them directly to fans and collectors in a safe and trusted environment. https://t.co/oshxryaRAe
— Universal Music Group (@UMG) May 17, 2022
UMGs Senior VP of Digital Business for Central Europe Holger Christoph said the company is “fully embracing the exciting Web3 space” and will work to create projects with “real utility.”
The partnership sees the LimeWire brand come full circle, as during its P2P heyday, it was a target for music labels due to users illegally sharing copyrighted content. The original platform was eventually taken down in 2010 after losing a court battle against the Recording Industry Association of America.
In March 2022 the brand made a comeback as an NFT marketplace focused on the music industry with brothers Paul and Julian Zehetmayr buying the rights to the name so it would return “as a platform for artists, not against them.”
The popular NFT project “Okay Bears”, the first Solana (SOL) NFT collection to top the 24-hour rankings on OpenSea has inspired a knock-off Ethereum-based collection dubbed “Not Okay Bears”.
Not Okay Bears are flipped images of the 10,000 original versions and briefly surpassed the 24-hour volume of the original collection on OpenSea. DappRadar shows over $3.2 million in volume over the last 24 hours.
The collection was delisted by OpenSea on May 17 likely due to the platform's updated policies on collections that imitate others.
Linktree, the popular app used across social media to showcase a link directory has launched support for NFTs through a partnership with OpenSea allowing users to showcase an NFT gallery and profile picture, and allow for crypto wallets to connect to a user's Linktree profile.
The Sandbox metaverse has partnered with South Korean entertainment firm Studio Dragon to develop a Korean drama series within the Sandbox metaverse, Studio Dragon will mint new NFTs for the collaboration.
The CEO of crypto exchange platform FTX is purchasing a considerable position in Robinhood after the trading giant’s stock hit an all-time low. According to a disclosure filing to the U.S. Securities and Exchange Commission (SEC), Sam Bankman-Fried bought 56.27 million shares of the company for about $650 million after the stock hit an all-time […]
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Shares in the popular online brokerage Robinhood have spiked over 30% in after hours trading following billionaire Sam Bankman-Fried acquiring a 7.6% stake in the company.
Sam Bankman-Fried, the billionaire founder and CEO of cryptocurrency exchange FTX has acquired a substantial 7.6% stake in the popular online brokerage, Robinhood.
The news was well received by the market, with Robinhood’s (HOOD) stock price initially soaring over 30% in after hours trading. At the time of writing the price has settled to a 24% overall gain.
According to a securities filing made with the Securities and Exchange Commission on Thursday, Bankman-Fried purchased a total of $648 million in Robinhood shares at an average price of $11.52. The purchases disclosed by Bankman-Fried reportedly began in mid-March and continued through until Wednesday.
In the securities filing, Bankman-Fried made it clear that he had, “no intention of taking any action toward changing or influencing the control of [Robinhood],” and that the move was simply because he saw Robinhood as an “attractive investment.”
Robinhood’s communications team took to Twitter to emulate what Bankman-Fried said in his securities filing — tweeting to their 82,000 followers, “Of course we think it is an attractive investment too.”
Of course we think it is an attractive investment too. We have the best customer base, are introducing great new products, and we have the team to deliver.
— Robinhood Comms (@RobinhoodComms) May 12, 2022
The transaction was executed by an Antiguan firm called Emergent Fidelity Technologies Ltd, of which Bankman-fried is the sole director and majority owner.
The announcement seems to have provided Robinhood investors with some short-term relief, after its stock price reached a new all time low of $7.73 on March 12, just one day after the brokerage firm revealed that its crypto transaction revenue fell 39% year-over-year (YOY).
Robinhood has been taking significant strides into the cryptocurrency market, as revenue from stock-related trading has fallen drastically. Robinhood currently provides users with crypto trading capabilities, bringing it into immediate competition with other US-based cryptocurrency exchanges such as Coinbase and Gemini.
According to Robinhood’s Q1 2022 report, roughly 18% of its Q1 net revenue came from crypto-related transactions, however transaction-based revenue from cryptocurrencies decreased 39% YOY to $54 million, compared to $88 million in the Q1 2021.
Related: Robinhood axes almost 1 in 10 staff members as stock hits all-time low
In April last year, Robinhood announced plans to expand into cryptocurrency brokerage by purchasing UK-based crypto company Ziglu.
Earlier this month, Robinhood also rolled out its highly anticipated crypto wallet to 2 million waitlisted users, outlined plans to integrate the Lightning Network, and listed Shiba Inu (SHIB) after months of campaigning from its supporters.
The stock price of listed BTC mining companies and other businesses with exposure to cryptocurrency are dropping to yearly lows as the crypto market continues to sell-off.
Bad news continues to dominate crypto media headlines and May 12's juiciest tidbit was the unexpected collapse of the Terra ecosystem. In addition to the weakness seen in equities, listed companies with exposure to blockchain startups and cryptocurrency mining have also declined sharply.
Bitcoin mining stocks continue bleeding...
— Jaran Mellerud (@JMellerud) May 11, 2022
Mining investors probably wish they had simply bought bitcoin instead at the beginning of 2022, as most bitcoin mining stocks have underperformed bitcoin by a wide margin. pic.twitter.com/anSoUEoUJ1
While it may be easy to blame the current pullback solely on Terra's implosion, the truth is that the price of Bitcoin mining stocks has largely mirrored the performance of BTC since reaching a peak in November 2020.
It's likely that the price of these stocks will struggle as long as Bitcoin continues to bleed lower in the face of multiple headwinds, including rising interest rates, inflation and global conflict.
It’s not just Bitcoin mining stocks that have fallen under the pressure of late as all manner of companies with any kind of association with cryptocurrencies have been feeling the heat in May.
Following the release of forward-looking statements that project a continued decline in active users and trading volume, the price of Coinbase (COIN) stock hit an all-time low of $41.23 in the early trading hours on May 12.
Robinhood also saw its stock price drop to a new all-time low of $7.73 on May 12, one day after the firm revealed that its crypto transaction revenue fell 39% year-over-year in Q1 from $88 million in 2021 to $54 million in 2022.
While Robinhood is not a crypto-only exchange, roughly 18% of its Q1 net revenue came from crypto-related transactions, which is significant when comparing the size of the crypto market to the other markets supported on the platform.
Related: Bitcoin fights to hold $29K as fear of regulation and Terra’s UST implosion hit crypto hard
The declines in cryptocurrency-related stocks mirror a backdrop of widespread weakness in financial markets, especially the tech sector.
Several years of optimistic projections and quantitative easing have resulted in an overvalued and volatile tech sector that throws fits if earnings fall below expectations.
Once the darlings of the mighty stock market, FAANG stocks have led the charge lower, weighing down the Nasdaq, which closed April with its worst monthly performance since the 2008 financial crisis.
The losses for the Nasdaq further quickened in May as the benchmark index fell another 9.15% to its lowest level since November 2020.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
On May 6, the financial services company Robinhood announced the firm has listed Grayscale’s Bitcoin Trust (GBTC) and Ethereum Trust (ETHE). Robinhood customers can now gain access the crypto investment products in order to get exposure to bitcoin or ethereum without actually owning the digital currencies. In Addition to Cryptos, Robinhood Adds Grayscale’s GBTC and […]