Robinhood raises $ 280M from Sequoia Capital and others

Sequoia Capital led a fundraiser $ 280 million for the american broker Robinhood. The new capital brings the valuation of the business to $ 8.3 billion.

In a recent funding round F series led by crypto-friendly venture capital company Sequoia Capital, Robinhood collected $ 280 million additional.

Today, we are announcing $ 280 million in Series F funding for an $ 8.3 billion valuation, "the California-based firm wrote on its blog.

There is also the participation of existing and new investors such as NEA, Ribbit Capital, Unusual Ventures and 9Yards Capital.

This funding follows a previous $ 323 million fundraiser (Series E) led by DST Global in 2019 for the unicorn of Palo Alto.

Founded in 2013, Robinhood is a broker who buys and sells stocks, options and ETFs with zero commission. Since 2018, it has also offered the possibility of investing in cryptocurrencies such as Bitcoin, Ethereum or Litecoin.

Robinhood made financial markets accessible to the masses and in turn revolutionized the decades-old brokerage industry. We are delighted to continue our relationship with Robinhood, which we believe is at the beginning of its opportunity, ”commented Andrew Reed, partner at Sequoia Capital.

The company will use the funds raised to invest in scaling up its platform, creating new products and accelerating the development of its operations.

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The financial and health crisis linked to covid-19 resulting in exceptional market volatility. The WSJ recently reported that brokers had noticed a sharp increase in trading activities and new entrants.