Robinhood stock surged by 4.61% within two days following the big amount of HOOD shares buyback news by the company.
Robinhood is a popular crypto & stock trading platform. In the initial phase, this platform was founded as a stock assets broker but later jumped into the crypto business. In 2021 this company generated record revenue with only Dogecoin (Doge) transactions. So far, the Robinhood platform brought several new features for the crypto investors in its platform, to attract huge numbers of customers.
On 1 Sep 2023, Reuters reported that Robinhood purchased its 7.6% stake back from the FTX co-founder’s shell company Emergent Fidelity Technologies.
Crypto & stock trade platform spent a total of $605.07 million to purchase this big amount of stake back.
Following this news, the trade price of HOOD surged by nearly 4.67% within 2 days. The current trade price of HOOD stock is $11.11.
FTX crypto exchange
FTX was the second most popular & top crypto exchange till Oct 2022. In the early week of Nov of the last year, this platform collapsed badly.
Allegedly FTX Co-founder Sam Bankman-Fried (SBF) misused the FTX customer’s funds for personal benefits & also funded his other crypto hedge firm Alameda Research.
Before the downfall of the exchange, Emergent Fidelity Technologies, a shell company by SBF’, borrowed $546 million from Alameda Research to purchase Robinhood’s 7.6% stakes.
Over the last couple of days, some reports noted that an FTX belonging to a cold wallet has transferred $10 million worth of crypto assets to the Ethereum network from Solana. People consider that the FTX bankruptcy team transferred these big amounts of crypto assets as a part of an act of wallet collection.