The cheapest stock on robinhood then tries to offer the latest services to its clients. Robinhood wants to get a certificate for carrying out banking services.
Robinhood, a free stock trading program which this year has published the inauguration of a cryptocurrency trading service without commissions in parts of the US, is now willing to provide clients with funds accounts and other conventional banking services.
At this time, on the basis of regulations at this time, this California-based industry does not have the right to work like a bank. But because it has become known, Robinhood has initiated a dialogue with regulators with the aim of welcoming assistance to offer bank-like material through various certificates or partnerships.
Robinhood’s representative chaired the conversation with the Currency Money Supervisory Office, which is responsible for regulating all US national banks and federations of federal funds.
Robinhood is not one of those financial technology startups that has already entered the more conventional scope of banking. Recently, Social Finance Inc. and Stash Financial Inc. have started to think about opportunities to offer uniform products.
An important goal of digital startups that penetrated this factory was to broaden their ties with consumers and divert attention from large banks. Young companies strive to give their consumers a better experience, greater interest, and opportunities to obtain some types of services in one place.
When the stock trading program without commission from Robinhood had more than 4 million listed consumers. People who live in some US states can use the program to trade Bitcoin and Ethereum as well.
At this time, Robinhood is regulated by the Securities and Exchange Commission (SEC) and is listed in the Financial Industry Regulatory Authority (FINRA) like a broker-dealer.
Because the regulations and requirements for industries that want to carry out banking services are tight, many startups prefer to provide services through partnerships or fusion with existing institutions. Obtaining a banking certificate can be a challenge and can take months or even years.
For Vlad Tenev, CEO and initiator of Robinhood, deepening ties with their clients is a priority in their important line of business that shares direction for further development.
Early this June, CoinSpeaker has included 3 fintech startups that offer their solutions to the crypto factory which is certainly worth monitoring. And Robinhood is also listed in this note. In the short duration, startup plans to improve more cryptocurrency