Robinhood, the no-fee stock trading app, just announced a giant-size $323 million round of funding, making it worth over $7 billion
The no-fee stock trading app Robinhood announced on Monday that it has raised a $323 million Series E round, moving the startup's valuation to $7.6 billion.
Before this round, Robinhood had been valued at $5.6 billion, after a $363 million raise in May 2018.
The mega-round â which confirms a May report by The Information that the fintech startup was securing more funding â was led by DST, with participation from Ribbit Capital, NEA, Sequoia and Thrive Capital.
Robinhoood may also be planning to raise another round soon, according to The Information, which would potentially balloon the Palo Alto-based startup's valuation to $10 billion.
Robinhood's user numbers reached 6 million by the end of 2018. However, its growth, and its booming valuation, has also introduced new challenges.
Notably, last December, the company was forced to walk back the launch of its high-yield checking and savings account within a day of its initial anouncement. As Business Insider earlier reported, the botched launch resulted from Robinhood never contacting the proper authorities to ensure the accounts would indeed be insured â a decision multiple sources told us was a deliberate one.
