Robinhood has filed for its Initial Public Offering (IPO) in the United States of America. The diverse financial market trading company, known for its friendly fee structure has trailed the part charted by Coinbase Global when it went public, reaffirming the notions that cryptocurrency trading has come of age.
While stocks and other commodities are traded on Robinhood, digital currencies have found a place in the firm’s portfolio, amid a growing clamor for the growing asset classes. The firm said transactions brought in by digital currency trading accounted for as much as 17% of all total revenue. By the end of Q1, Robinhood said it held $11.6 billion in crypto assets on behalf of its clients.
The digital currency ecosystem has witnessed a lot of interest in the past year, with both retail and institutional investors getting aboard the new space. While not a native cryptocurrency exchange, Robinhood has notably inched a massive market share, growing its crypto Assets Under Management from $480 million to the current figure it reported.
Dogecoin (DOGE) Steals the Show
While cryptocurrency trading featured prominently in the Robinhood ecosystem, Dogecoin (DOGE) particularly outshined other digital currencies as the in-demand crypto on the company’s trading app. Of all cryptocurrency transactions, only Dogecoin-based revenue accounted for as much as 34%.
The dominance of Dogecoin amongst Robinhood traders has been cited as a source of threat to the entire ecosystem. The company wrote in its filing with the US Securities and Exchange Commission (SEC);
‘If demand for transactions in Dogecoin declines and is not replaced by new demand for other cryptocurrencies on our platform, our business, financial condition, and results of operations could be adversely affected.’
Dogecoin is the first and the best coin associated with iconic billionaire, Elon Musk, the Chief Executive Officer of the electric automaker, Tesla Inc. Musk promotes Dogecoin through his tweets, a move that has remarkably impacted Dogecoin’s popularity this year.
The influence of Elon Musk over Dogecoin has also seen the coin being listed on several cryptocurrency exchanges. eToro is one of the platforms that listed the Shiba Inu-themed coin, citing its large fanbase as the reason.