Stellar (XLM) Now Officially Listed On Robinhood

August 9, 2022 4:46 pm

According to a recent announcement by Robinhood, the popular trading app will now support trading services for Stellar (XLM) and Avalanche (AVAX).

This is quite interesting as the Robinhood app has been known for its reluctance on supporting crypto assets and usually limits itself to only a few major assets.

With the introduction of XLM and AVAX onto the platform, it may signify that the crypto market is slowly gaining acceptance from the brokerage industry and also the fact that crypto has gone mainstream.

As a result, investors expect a lot more trading volume for these two digital assets which will boost adoption and organic growth.

U.today reports:

The trading platform, which is known for its conservative listing policy for digital assets, has significantly expanded its crypto offering this year.

In late June, the company added support for Chainlink (LINK). Prior to that, it also listed Solana (SOL), Shiba Inu (SHIB) and Polygon (MATIC) in early April.

Robinhood dived into cryptocurrency trading in February 2018, initially allowing its users to trade Bitcoin and a small selection of altcoins. Meme cryptocurrency Dogecoin went live on Robinhood Crypto in July 2018.

After that, the company resisted adding new tokens for almost three years in spite of the massive growth of the crypto industry.

At the peak of the Dogecoin mania in the first quarter of 2021, the Bitcoin parody accounted for more than a third of the company’s crypto-related revenue. Earlier this year, Robinhood started rolling out crypto wallets, allowing users to withdraw crypto from exchanges.

In regards to the performance of the company, it seems that Robinhood has been experiencing shrinking revenue which may be correlated to the current state of the markets and the economy.

The firm has had a recent layoff where the number of employees were reduced and there were also some rumors that crypto exchange FTX was looking to acquire the Robinhood company.

Of course, these rumors were denied, but one can never be too sure what is currently being planned for the future of the company.

So far, revenue has fallen by nearly 50% so perhaps the firm sees crypto as one of the most promising ventures that could change this.

Adding support for a major digital asset like XLM is certainly one way to do this and it also benefits XLM tremendously.

U.today concludes:

Earlier this year, Robinhood started rolling out crypto wallets, allowing users to withdraw crypto from exchanges.

In late June, Bloomberg reported that crypto giant FTX had plans to buy Robinhood, but the former denied that there were active talks regarding the potential acquisition.

Shares of Robinhood have tanked due to shrinking revenue and a decline in active users. The Menlo Park, California-based company recently slashed its headcount by 23%. Its revenue nearly halved in the second quarter of 2022.

The recent data underscores the company’s dramatic fall from the hype-driven IPO that took place on July 29, 2021.

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