Robinhood has managed to top up its Series F funding round with an extra $320 million, which brings its value to $8.6 billion.
The first $280 million was raised at Series F funding during May. This round was led by Sequoia Capital. The extra $320 million comes from TSG Consumer Partners and IVP, among others. This brings the round to $600 million.
Read also: Monese partners with Paysafe to enhance access to cash services
The Robinhood’s new capital is not a surprise since the fintech trading app is seeing demand for its product surge and as investors of all sizes take part in the year’s huge equity volatility.
Many investing-and-savings-focused fintech companies are having a great year, as consumers look to hoard and employ their cash.
The biggest advantage of Robinhood to some traditional retail brokerages (such as E*Trade charging fees of anything up to $10 a trade) is its monthly fee but no fees per trade. With that, Robinhood has been a hit since launching in 2015, making it one of fintech’s most valuable startups.
“Robinhood has made the financial markets accessible to the masses, and in turn, revolutionized the decades-old brokerage industry,” said Andrew Reed, partner at Sequoia, in a statement. “We’re excited to further our relationship with Robinhood, which we believe is at the beginning of its opportunity.”
With the funding secured during May, some fintech experts also speculated that Robinhood’s investors may also be gearing up for the company to be acquired.