The Robinhood stock trading app raised $ 2.4 billion over the weekend, despite criticism that it stopped buying stocks popularized by online forums.
The day’s chief financial officer, Jason Warnick, said in a blog post on Monday that the latest infusion “will help us grow to cope with the incredible growth we’ve seen and are asking for.” our platform ”.
The financing round was led by Ribbit Capital and included previous investors, such as Sequoia Capital.
Robinhood took heat from almost everywhere last week, after blocking users from buying shares of GameStop, AMC and Blackberry, companies targeted by the Reddit r / WallStreetBets subforum.
The company explained that it was forced to make this decision, because the additional traffic on its product meant that it had to invest much more money in the clearing house that processes its transactions. Traffic on Robinhood rose 1,200 percent last week, according to a similar Web analysis.
Robinhood CEO Vlad Tenev said late Sunday, on the social platform Clubhouse, for invitations only, that last week an arm of the Wall Street Depository Trust and Clearing Corporation asked for $ 3 billion in additional collateral.
Although demand fell to $ 700 million, Tenev said, the company was still forced to draw existing credit lines.