Crypto Exchange FTX is Exploring a Robinhood Buyout: Sources

Sam Bankman-Fried (SBF)’s crypto alternate FTX is analyzing pathways by which it might probably purchase Robinhood, in line with individuals with information of the matter.

• As reported by Bloomberg on Monday, FTX is having inner deliberations on the way it can purchase out the brokerage app.
• The supply of the knowledge selected to stay nameless, as this matter is not public but. FTX is additionally but to formally method Robinhood with a suggestion.
• The alternate should still decide out of the deal, as no last choices have been made.
• Robinhood is an app that grants customers commission-free stock and cryptocurrency trades. It has since introduced its upcoming NFT and Defi appropriate non-custodial pockets, following plans for a lightning community pockets revealed in April.
• Robinhood grew massively in recognition through the 2021 Dogecoin growth, and presently holds round one-third of all circulating DOGE.
• However, the company was compelled to put off 9% of its full-time staff in April attributable to overhiring through the earlier year. Multiple different crypto corporations have since been compelled into the identical position, whereas others face attainable insolvency.
• Meanwhile, SBF has positioned himself as a market savior at the moment, providing to bailout corporations like BlockFi and Voyager at FTX and Alameda Research respectively.
• SBF already acquired a 7.6% stake in Robinhood in May, after which HOOD’s value soared.
• The billionaire mentioned on the time that Robinhood was an “attractive investment,” however that he had no intention of “changing or influencing” the company.