Robinhood's share price jumped more than 20% on Friday after it emerged that Sam Bankman-Fried, the CEO of crypto exchange FTX, has acquired a 7.6% stake in the trading app.
Emergent Fidelity Technologies, of which Bankman-Fried is the sole director, took a stake worth $648 million in Robinhood, according to an SEC filing.
The news sent Robinhood shares soaring as much as 36% in extended trading on Thursday from an all-time low for the stock in regular trading.
By Friday mid-morning the stock was up about 23% at $10.57, still way down from the $38 IPO price last July.