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Robinhood raises $200m at $11.2bn valuation

Robinhood has raised $200 million from D1 Capital Partners in a Series G funding round that values the stock trading app at $11.2 billion.

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Robinhood raises $200m at $11.2bn valuation

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The round comes just weeks after Robinhood topped up its Series F with an extra $320 million at an $8.6 billion valuation, fuelling speculation a public listing could be on the horizon.

With traditional retail brokerages such as E*Trade charging fees of anything up to $10 a trade, Robinhood has been a hit since launching in 2015, making it one of fintech's most valuable startups.

The firm has added millions of funded accounts just this year and in recent weeks it has seen record revenue growth, with investors keen to take advantage of market volatility during the Covid-19 pandemic.

However, the spike in demand has exposed operational constraints in its technology platform, with the firm experiencing a number of outages throughout March.

In response, last month it canned plans to launch in the UK, instead deciding to focus "on strengthening our core business in the US and making further investments in our foundational systems".

In a statement today, the startup says that with its new funding "we'll continue to invest in improving our core product and customer experience".

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