The much-anticipated Robinhood IPO might happen at any time. The Securities and Exchange Commission has received a registration statement on Form S-1 from Robinhood Markets relating to its proposed initial public offering (IPO) of Class A common stock.
According to the statement, Robinhood shares would be listed on the Nasdaq Stock Exchange with the ticker code “HOOD.” The Robinhood IPO could become a high-profile listing in 2021, although the exact response is still unknown. The Robinhood IPO date and valuation are also awaited.
Users of Robinhood’s trading app can now apply for initial public offerings (IPOs). Users who have access to IPOs will be able to purchase shares of firms at their offering price, with no account minimums. IPO Access on Robinhood is now only available to a restricted group of users who are chosen at random. This implies that some IPO Access users will be able to apply for Robinhood IPO shares directly from the Robinhood app.
According to Robinhood’s S-1 filings, total sales increased 245% to $959 million, up from $278 million; net income was $7 million, compared to a net loss of $107 million; and adjusted EBITDA was $155 million, up from negative $74 million.
In addition, compared to the three months ended March 31, 2020, total revenue increased 309% to $522 million, up from $128 million; recorded a $1.4 billion net loss, which included a $1.5 billion fair value adjustment to our convertible notes and warrant liabilities, compared to a net loss of $53 million; and Adjusted EBITDA was $115 million, compared to negligible. Anyone may use Robinhood to invest in stocks and ETFs with no account minimums, as well as purchase and sell crypto and learn about investing through simple educational content. The cryptocurrency trading platform from Robinhood allows you to purchase and sell cryptocurrency without paying a commission.
The total cryptocurrency market valuation has expanded from roughly $450 billion to nearly $1.9 trillion from February 21, 2018, the day before Robinhood began cryptocurrency trading on their platform, to March 31, 2021, owing to increased adoption of cryptocurrency trading by both retail and institutional investors, as well as continuous expansion of different non-investing use cases.
Meanwhile, in March 2021, the global daily average market volume of Bitcoin, which was the most traded cryptocurrency on the Robinhood platform by notional value for the year ending December 31, 2020 and the three months ended March 31, 2021, was over $54 billion, up from around $8 billion in February 2018.
J.P. Morgan and Goldman Sachs are two of the most well-known investment banks in the world. Morgan is serving as the proposed offering’s joint lead book-running manager. Active book-running managers for the proposed offering are Barclays, Citigroup, and Wells Fargo Securities. Only a prospectus will be used to make the offering.