Stock trading app Robinhood wants to take down the behemoth that is the New York Stock exchange. Instead of eating from the same dish as Nottingham’s own personal sheriff, the app that used to be once the lover of WallStreetBets crowd hopes that its regular audience will appreciate the ability to buy and sell stocks at any time of the day.
The company announced that it is working on 24-hour trading for some of its latest stocks. quarterly financial report released Wednesday. Vlad Tenev, the Robinhood CEO, investors say that this service will launch “next week,” while quarterly filings reveal that the service will begin with more than 40 “well-known” stocks and exchange-traded funds. According to a new report from Wall Street Journal, trading opens regularly from 8 pm ET Sunday and 8 pm ET Friday. Some of these great stocks include the likes of Amazon, Apple, and Tesla.
Tenev told the WSJ that the company will add more stocks to its regular service over time, adding that this 24-hour trading “is how the market should work” because it is not tied to one time. zone and its working hours. . While there are other services that allow limited early-morning trading in ETFs, this is one of the first companies to allow overnight trading of big-name stocks.
According to the Journal, all trades after 8 pm ET are sent to the Blue Ocean trading platform, then through several companies trying to profit from the stocks. While there are sure to be many late-night, bleary-eyed, stock-obsessed people punching numbers like a gambler at a slot machine, it’s still hard to beat the power of Wall Street. In its latest quarterly financial report, the company said it experienced an explosion in monthly active users to nearly 11.8 million. The company has experienced a steep decline in users since peaking at 21.3 million in mid-2021. The NYSE Claims it has a daily volume of 38.3 million contracts in 2022.
The company also hopes it will add futures trading by the end of the year, pending approval of a Futures Commission Merchant License, something a Redditor at r/WallStreetBets The saying is like “trusting a child with napalm.” Although the memestock crowd as a whole is excited at the prospect of 24/5 trading. That may be enough to pull back some traders who are still upset about how Robinhood halts trading of meme stocks during the original GameStop brief craze.
Robinhood’s ambitions could be hampered by continued regulatory scrutiny. Bloomberg first reported based on company filings that the US Securities and Exchange Commission is investigating the company’s record-keeping requirements, allegedly involving “out-of-channel communications.” The SEC’s enforcement arm is also investigating whether Robinhood stayed on the books when reporting securities-related trades.
The SEC investigation will be similar to last year when Bankers have been hit for illegally communicating in private channels on apps like WhatsApp. Gizmodo reached out to the SEC for comment on the investigation and a spokesperson told us the agency “does not comment on the existence or non-existence of a possible investigation.” The company is needed pay $30 million to the New York Department of Financial Services last year
After it was taken hits from hackerscustomers, politicians, and regulatorsRobinhood had a bad 2022 which resulted in dismissal and reduced income. The company reported on Wednesday that its revenue rose 47% from the same time last year, although it still experienced losses for the seventh consecutive quarter.
