{"id":526432,"date":"2022-12-14T00:44:00","date_gmt":"2022-12-13T21:44:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/ftx-collapse-isnt-just-coinbases-problem-its-also-robinhoods\/"},"modified":"2022-12-14T00:44:00","modified_gmt":"2022-12-13T21:44:00","slug":"ftx-collapse-isnt-just-coinbases-problem-its-also-robinhoods","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/ftx-collapse-isnt-just-coinbases-problem-its-also-robinhoods\/","title":{"rendered":"#: FTX collapse isn\u2019t just Coinbase\u2019s problem \u2014 it\u2019s also Robinhood\u2019s"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a29bb4f7dc7c\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a29bb4f7dc7c\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/ftx-collapse-isnt-just-coinbases-problem-its-also-robinhoods\/#%E2%80%9C_FTX_collapse_isnt_just_Coinbases_problem_%E2%80%94_its_also_Robinhoods%E2%80%9D\" >&#8220;: FTX collapse isn\u2019t just Coinbase\u2019s problem \u2014 it\u2019s also Robinhood\u2019s&#8221;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/ftx-collapse-isnt-just-coinbases-problem-its-also-robinhoods\/#Robinhoods_crypto_segment_faces_risks_%E2%80%98given_substantial_price_declines_and_material_deterioration_in_investor_confidence_analyst_says\" >Robinhood\u2019s crypto segment faces risks \u2018given substantial price declines and material deterioration in investor confidence,\u2019 analyst says<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/ftx-collapse-isnt-just-coinbases-problem-its-also-robinhoods\/#Bill_Peters\" >Bill Peters<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9C_FTX_collapse_isnt_just_Coinbases_problem_%E2%80%94_its_also_Robinhoods%E2%80%9D\"><\/span>&#8220;: FTX collapse isn\u2019t just Coinbase\u2019s problem \u2014 it\u2019s also Robinhood\u2019s&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Robinhoods_crypto_segment_faces_risks_%E2%80%98given_substantial_price_declines_and_material_deterioration_in_investor_confidence_analyst_says\"><\/span>\n  Robinhood\u2019s crypto segment faces risks \u2018given substantial price declines and material deterioration in investor confidence,\u2019 analyst says<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div id=\"cx-next\" data-nosnippet>\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap crawler\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0001475599\" role=\"document\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div data-layout=\"\n                inline\" data-layout-mobile=\"\" class=\"\n          media-object\n          type-InsetArticleReader\n              \n              inline\n  article__inset\n          article__inset--type-InsetArticleReader\n              article__inset--inline\n  \"><\/p>\n<div class=\"media-object-article-reader\">\n<div class=\"audioplayer\" data-sbid=\"WP-MKTW-0001475599\" role=\"region\" aria-label=\"Listen to Article\" tabindex=\"-1\" id=\"articlereader\" data-show-title=\"false\" data-theme=\"wsj-article-reader\" data-show-header=\"false\" data-show-subscribe=\"false\" data-ads-enabled=\"true\" data-save-publication=\"false\">\n        <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       Robinhood Markets Inc.\u2019s turnaround efforts are likely to grate up against the implosion of crypto exchange FTX and the broader cryptocurrency market, one analyst said late Monday, shortly before the U.S. charged FTX founder Sam Bankman-Fried with multiple counts of fraud.       <\/p>\n<p> That analyst, Citigroup\u2019s Christopher Allen, downgraded Robinhood<br \/>\n        HOOD,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/228268942\/composite\" class=\"negative\">-2.40%<\/bg-quote><br \/>\n       to neutral from buy and lowered the price target on shares of the popular stock-trading <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a> to $10 from $11. Shares of Robinhood were down around 2.4% on Tuesday.<\/p>\n<div class=\"paywall\">\n       Allen said Robinhood had cut costs and made its platform more attractive to active traders. But he said uncertainty surrounding the stock market next year, as well as the cratering of the crypto market, made for a \u201cmixed outlook\u201d on the company. <\/p>\n<p>Allen said that following last year\u2019s meme-stocks frenzy, trading activity on Robinhood has cooled. He said \u201ca sustained move higher in equity markets\u201d \u2014 something that is far from guaranteed next year \u2014 would be needed to spur stronger trading activity.  <\/p>\n<p>While stock trading on Robinhood has been stable in recent months, the analyst said he expected Robinhood\u2019s crypto-trading revenue to drop at least 50% for both this year and next year. And he said the shockwaves from FTX\u2019s collapse could ripple through to Robinhood in a variety of ways. <\/p>\n<p>One, he said, was the potential liquidation of the 56.3 million Robinhood shares \u2014 or 7.4% of its outstanding stock \u2014 owned by Bankman-Fried, FTX\u2019s founder and former chief executive, through Emergent Fidelity Technologies. The timing of that liquidation, Allen said, was not yet clear. <\/p>\n<p>Allen said the scrutiny of FTX also removed it as a potential buyer of Robinhood. And the fallout raised the possibility of lower trading revenues for Robinhood\u2019s crypto segment, \u201cgiven substantial price declines and material deterioration in investor confidence.\u201d <\/p>\n<p>Analysts have offered similar assessments for crypto exchange Coinbase Global Inc.<\/p>\n<p>Bank of America, in a note last month, said that while Coinbase<br \/>\n        COIN,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/225893452\/composite\" class=\"negative\">-9.18%<\/bg-quote><br \/>\n       was unlikely to be \u201canother FTX,\u201d it still faced \u201ca number of new headwinds over the near\/medium term\u00a0due to\u00a0the\u00a0recent collapse of rival crypto exchange FTX.\u201d Needham analyst John Todaro also said Coinbase wasn\u2019t immune to possible \u201ccontagion\u201d from FTX\u2019s downfall, while noting it had \u201clittle direct exposure\u201d to FTX. <\/p>\n<p>Bankman-Fried was arrested in the Bahamas on Monday. On Tuesday, the U.S. attorney\u2019s office of the Southern District of New York charged him with wire fraud against customers and lenders, commodities and securities fraud, money laundering, and defrauding the U.S. <\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>The Securities and Exchange Commission on Tuesday <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.sec.gov\/news\/press-release\/2022-219\" class=\"icon none\">also charged Bankman-Fried with defrauding investors<\/a>, accusing him of steering FTX users\u2019 money to Alameda Research \u2014 a trading firm he co-founded in 2017 \u2014 and trying to conceal the diversion of the funds. <\/p>\n<p>FTX, launched in 2019 and based in the Bahamas, filed for bankruptcy protection last month after revelations from the crypto <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> site Coindesk about <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.coindesk.com\/business\/2022\/11\/02\/divisions-in-sam-bankman-frieds-crypto-empire-blur-on-his-trading-titan-alamedas-balance-sheet\/\" class=\"icon none\">Alameda\u2019s shaky finances<\/a> \u2014 and the degree to which it was intertwined with FTX \u2014 prompted a run on the exchange. Binance, a large rival crypto-trading platform, opted not to move forward with a bailout of FTX. <\/p>\n<p>Robinhood stock has fallen 47% so far this year, and Coinbase has tumbled 84%. In comparison, the S&amp;P 500<br \/>\n        SPX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210599714\/realtime\" class=\"positive\">+0.73%<\/bg-quote><br \/>\n       is down 16% over that time.<\/p>\n<\/p>\n<p>\u00a0<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>    <span>By<\/span><\/p>\n<div class=\"author mobile-scrim hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Bill Peters\",\"subhead\":\"The Wall Street Journal\",\"list\":[{\"type\":\"link\",\"icon\":\"bio\",\"url\":\"https:\/\/www.marketwatch.com\/topics\/journalists\/bill-peters\",\"text\":\"Biography\"},{\"type\":\"link\",\"icon\":\"twitter\",\"url\":\"https:\/\/twitter.com\/billwpeters\",\"text\":\"@billwpeters\"},{\"type\":\"link\",\"icon\":\"email\",\"url\":\"http:\/\/www.marketwatch.com\/news\/mailto:bpeters@marketwatch.com\",\"text\":\"bpeters@marketwatch.com\"}]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Bill_Peters\"><\/span>Bill Peters<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p><ufc-follow-author-widget product=\"marketwatch\" author-id=\"278_MW\" author-name=\"Bill Peters\" signin-url=\"https:\/\/accounts.marketwatch.com\/login?target=https%3A%2F%2Fwww.marketwatch.com%2Fstory%2Fftx-collapse-isnt-just-coinbases-problem-its-also-robinhoods-11670958554%3Frss%3D1%26siteid%3Drss\" panda-api=\"https:\/\/follow-api.marketwatch.com\"><\/ufc-follow-author-widget><\/div>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B20C06575-04D4-B545-7168-40FA15A5BBAF%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;: FTX collapse isn\u2019t just Coinbase\u2019s problem \u2014 it\u2019s also Robinhood\u2019s&#8221; Robinhood\u2019s crypto segment faces risks \u2018given substantial price declines and material deterioration in investor confidence,\u2019 analyst says Robinhood Markets Inc.\u2019s turnaround efforts are likely to grate up against the implosion of crypto exchange FTX and the broader cryptocurrency market, one analyst said late Monday,&#8230;<\/p>\n","protected":false},"author":1,"featured_media":526433,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.mktw.net\/im-684853\/social","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-526432","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/526432","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=526432"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/526432\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/526433"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=526432"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=526432"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=526432"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}