Robinhood Moves to In-House Trade Clearing

[kreslik.news]

Robinhood has announced that it is implementing a new approach towards clearing. The remarkable user growth which the company enjoyed since it launched its free stock trading app has netted it a user base surpassing 6 million people.

Robinhood’s move is paving the way for the company to increase its revenues. The firm has just gotten rid of a key middleman. Further emphasising on low trading fees, the independent brokerage is becoming a custodian which clears and settles trades.

The firm’s development team worked on the “Clearing by Robinhood” system over the past two years. The company established ... (read more)