Stock and crypto trading application Robinhood intends to offer banking services to its 4 mln clients, Bloomberg revealed June 20, referring to mysterious sources.
Robinhood, which in February started permitting zero-charge cryptocurrency trading through its Robinhood Crypto instrument, is presently in “constructive” discussions with the U.S. Office of the Comptroller of the Currency (OCC) to position itself as a banking services provider.
As indicated by people that know the issue too well, Robinhood is following highlights, for example, investment accounts, beating out rivalry from traditional banks through enhanced loan fees and an all in one financial portal.
The movement comes after the organization declared it had brought $363 mln up in financing to extend Robinhood Crypto to the whole U.S. market.
At the time, Robinhood guaranteed to be “the fastest-growing brokerage ever,” achieving a valuation of $5.6 bln.
In the meantime, rivalry for banking clients is expanding in the digital currency area. Goldman Sachs-backed Circle, which in February procured digital currency trade Poloniex, revealed it was also seeking after a banking license with the OCC prior this month.
Coinbase, the biggest U.S. crypto trade and wallet provider, also started discussions with the OCC with regards to getting a federal banking license and its “business model,” Cointelegraph announced in May.