U.S. markets closed
  • S&P 500

    3,825.33
    +39.95 (+1.06%)
     
  • Dow 30

    31,097.26
    +321.83 (+1.05%)
     
  • Nasdaq

    11,127.84
    +99.11 (+0.90%)
     
  • Russell 2000

    1,727.76
    +19.77 (+1.16%)
     
  • Crude Oil

    108.46
    +2.70 (+2.55%)
     
  • Gold

    1,812.90
    +5.60 (+0.31%)
     
  • Silver

    19.85
    -0.50 (-2.44%)
     
  • EUR/USD

    1.0426
    -0.0057 (-0.54%)
     
  • 10-Yr Bond

    2.8890
    -0.0830 (-2.79%)
     
  • GBP/USD

    1.2103
    -0.0072 (-0.59%)
     
  • USD/JPY

    135.1750
    -0.5530 (-0.41%)
     
  • BTC-USD

    19,227.23
    -213.08 (-1.10%)
     
  • CMC Crypto 200

    420.84
    +0.70 (+0.17%)
     
  • FTSE 100

    7,168.65
    -0.63 (-0.01%)
     
  • Nikkei 225

    25,935.62
    -457.42 (-1.73%)
     

Robinhood shares surged over 30% after crypto billionaire Sam Bankman-Fried disclosed a 7.6% stake in the trading platform

·2 min read
Sam Bankman-Fried FTX CEO crypto
Crypto billionaire Sam Bankman-Fried took a 7.6% stake in Robinhood Markets.FTX
  • Crypto billionaire Sam Bankman-Fried disclosed that he owns about 56.3. million shares in Robinhood Markets.

  • News of his 7.6% stake in Robinhood sent shares of the trading platform up over 30% in late trade.

  • Bankman-Fried is the founder and CEO of cryptocurrency exchange FTX.

Shares in Robinhood Markets surged more than 30% in late trade after crypto billionaire Sam Bankman-Fried disclosed a 7.6% stake in the online brokerage.

Bankman-Fried acquired about 56.3 million shares in Robinhood markets through his investment firm, Emergent Fidelity Technologies, according to a Thursday regulatory filing with the US Securities and Exchange Commission (SEC).

That makes the 30-year-old's stake worth about $482 million, based on Robinhood's closing share price of $8.56. Bankman-Fried paid about $648.3 million for the shares, according to the SEC filing.

Bankman-Fried is the founder and CEO of cryptocurrency exchange FTX. He has a net worth of $11 billion, per the Bloomberg Billionaires Index.

California-based Robinhood was founded in 2013 but was thrust into the limelight last year on the back of a meme-stock craze. It had 22.7 million users at the end of 2021 — an on-year increase of 81%, the company said at its full-year results announcement in January.

The no-commission trading platform lost $3.7 billion in 2021. Its stock, which debuted at $38 a share in July 2021, is down over 70% since its IPO. Revenue fell 43% in the first quarter of 2022 from a year ago as trading activity fell, the company disclosed in April. It has flagged crypto as a growth area.

Robinhood share price closed 5.03% higher at $8.56 on Thursday. They were last up about 24% at $10.60 a share in after-hours trade after surging as much as 37% to $11.70.

Read the original article on Business Insider