On Monday, August 6th, Robinhood announced that it has listed Ethereum Classic (ETC) on its trading platform. The stock trading platform now has 6 cryptocurrencies which its users can trade without paying any commission on such trades. In addition to such trades, users can also monitor the trend for ten other cryptocurrencies which are expected to be integrated in future.
Valued at around $5.6 billion, Robinhood now provides its users with an option to invest and trade in Ethereum Classic, adding it to their portfolios along with traditional equities.
Starting off in February 2018 with two cryptocurrencies, namely Bitcoin and Ethereum, and a presence in four US states, growth of the stock trading application has been spectacular. At present, Robinhood as a platform is available in 19 US states and offers trading facilities of six cryptocurrencies, including Bitcoin, Ethereum, Bitcoin Cash, Litecoin, Dogecoin and now Ethereum Classic too.
The trading platform does not charge its users for the trade they make on their platform and operates on a break-even basis. It does not “plan to profit from it for the foreseeable future”.
According to Robinhood, expanding their customer base at present is much more important than earning profits from its existing business.
In the recent past, Coinbase, the colossus of the industry issued a similar announcement of adding Ethereum Classic to its existing portfolio of offerings. Although Coinbase declared that it plans to list Ethereum Classic, Robinhood’s proactive strategy managed to get it an edge over its competitor. If Robinhood envisions to gain a considerable market share, it would be necessary to bypass Coinbase in the race.
Recently, Robinhood raised around $363 million through series D funding with the objective to spread its business across the country. The platform is also rumoured to come out with a cryptocurrency wallet for ease of its users after it posted an opening for crypto engineers.
Post the announcement, Ethereum Classic’s market price surged up by around 5% to trade at around $18.34. Comparatively, the altcoin had jumped by 25% after the announcement made by Coinbase.