{"id":289293,"date":"2021-07-02T00:24:16","date_gmt":"2021-07-01T21:24:16","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/robinhood-warns-it-could-be-hurt-if-interest-in-dogecoin-wanes\/"},"modified":"2021-07-02T00:24:16","modified_gmt":"2021-07-01T21:24:16","slug":"robinhood-warns-it-could-be-hurt-if-interest-in-dogecoin-wanes","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/robinhood-warns-it-could-be-hurt-if-interest-in-dogecoin-wanes\/","title":{"rendered":"#Robinhood warns it could be hurt if interest in Dogecoin wanes"},"content":{"rendered":"

“#Robinhood warns it could be hurt if interest in Dogecoin wanes<\/strong>”<\/p>\n

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Commission-free trading app<\/a> Robinhood warned investors on Thursday that its fortunes may be tied to a cryptocurrency that got its start as a joke. <\/p>\n

In revealing its financials for the first time while filing to go public, Robinhood said Dogecoin accounted for 34 percent of its cryptocurrency transaction-based revenue in the first quarter, up from 4 percent in the prior quarter. Any slowdown in demand, it said, could adversely affect its financial results. <\/p>\n

\u201cA substantial portion of the recent growth in our net revenues earned from cryptocurrency transactions is attributable to transactions in Dogecoin,\u201d the company disclosed under the risk warnings section of its S-1 filing<\/a> with the Securities and Exchange Commission. <\/p>\n

\u201cIf demand for transactions in Dogecoin declines and is not replaced by new demand for other cryptocurrencies available for trading on our platform, our business, financial condition and results of operations could be adversely affected,\u201d it added.<\/p>\n

Dogecoin reached a peak in early May of about 73 cents per coin as it was cheered on by notable supporters including Tesla CEO Elon Musk. But it started off as a prank in 2013 by a tech marketer who melded two popular Internet themes \u2014 cryptocurrency and a the Shiba Inu pup behind the so-called Doge meme \u2014 to make a Twitter<\/a> joke.<\/p>\n

\"A
Dogecoin has gained followers thanks to tweets from Elon Musk.<\/figcaption>
AFP via Getty Images<\/span><\/figcaption><\/figure>\n

\u201cInvesting in Dogecoin,\u201d Jackson Palmer tweeted at the time, \u201cpretty sure it\u2019s the next big thing.\u201d <\/p>\n

The meme currency, which was then made real by software engineer Billy Markus, has more recently fallen from its recent highs to about 25 cents per coin, but is still up more than 10,000 percent from a year ago, according to data from Coinbase.<\/p>\n

Robinhood on Thursday also noted that\u00a0cryptocurrency transaction-based revenue made up 17 percent of Robinhood\u2019s total revenue in the first quarter, or $87.6 million, compared with just 3 percent, or $4.2 million, a year earlier.<\/p>\n

\"Representations
Robinhood says slowing demand for Dogecoin, which started out as a joke, could hamper its financial results.<\/span>REUTERS<\/span><\/figcaption><\/figure>\n

The company launched its crypto trading business, known as RHC, in 2018 and currently lets users trade seven different cryptocurrencies: Bitcoin, Bitcoin Cash, Bitcoin SV, Dogecoin,\u00a0Ethereum,\u00a0Ethereum\u00a0Classic and Litecoin.<\/p>\n

\u201cRHC\u2019s business may be adversely affected, and growth in our net revenue earned from cryptocurrency transactions may slow or decline, if the markets for Dogecoin deteriorate or if the price of Dogecoin declines, including as a result of factors such as negative perceptions of Dogecoin or the increased availability of Dogecoin on other cryptocurrency trading platforms,\u201d Robinhood went on.<\/p>\n

\"This
Robinhood warns that it has a lot of exposure to Dogecoin. <\/figcaption>
AP<\/span><\/figcaption><\/figure>\n

Total crypto assets held on Robinhood grew 23 times over in the first quarter compared with the same period a year ago, Robinhood said in its filing. Over the same period, Robinhood\u2019s total revenue increased 309 percent in the period to $522 million.<\/p>\n

The explosive growth in Robinhood\u2019s revenue from dogecoin and other cryptocurrencies earlier this year coincided with a rapid run-up in price throughout the crypto market.\n <\/p><\/div>\n

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Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

“#Robinhood warns it could be hurt if interest in Dogecoin wanes” Commission-free trading app Robinhood warned investors on Thursday that its fortunes may be tied to a cryptocurrency that got its start as a joke. In revealing its financials for the first time while filing to go public, Robinhood said Dogecoin accounted for 34 percent…<\/p>\n","protected":false},"author":1,"featured_media":289294,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2021\/07\/DOGECOIN.1.jpg?quality=90&strip=all&w=1200","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[86883,86706,110824,76127],"class_list":["post-289293","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-dogecoin","tag-robinhood","tag-7-1-21","tag-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/289293","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=289293"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/289293\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/289294"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=289293"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=289293"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=289293"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}