Robinhood lags as FTX.US and Bitstamp USA plan to add stock trading

Namrata Shukla
Source: Unsplash

It was not just the cryptocurrencies that were competing on the price scale, but other crypto businesses too. Prominent brokerage, Robinhood that has been cropping up more often over speculation of a potential Shiba Inu listing, was once again seen losing the edge. According to reports, the company’s stock closed 6% lower on Thursday after crypto exchanges FTX.US and Bitstamp revealed adding stock trading to their platforms.

Of Robinhood, FTX, and Bitstamp

The market was seen quaking when FTX.US President, Brett Harrison tweeted that the exchange is “hard at work on stocks” and gaming to include features like live prices, company data, portfolio performance tracking, and more. As per reports, this addition could come in a couple of months.

Meanwhile, Bitstamp USA CEO, Robert Zagotta revealed to Bloomberg during an interview that the exchange is considering adding stock, crypto derivative, and NFT trading to the platform. As per reports,

“Offering equities trading would create a streamlined experience for Bitstamp’s over 4 million users, but it’s a “very competitive space, and there are some very significant players in it,” Zagotta said. Such a move would require significant investments, so “we have to be convinced that we have a right to win in this space,” he said.”

Earlier the competition was to be the largest cryptocurrency exchange, however, just adding crypto assets to your platform will not make you a leading business. Some crypto exchanges provided trading of tokenized versions of stocks like Apple Inc. and Tesla Inc. This version of the sticks reflected the price of the securities but has run into troubles with the regulators.

As crypto winter or a bear market lurks around, it would be beneficial for crypto exchanges to shift their focus from just crypto to mainstream financial products offering. However, as stated earlier the exchanges may have to do thorough planning to comply with the securities laws in place in the United States.

It appears, FTX.US and Bitstamp have sensed this changing trend and were eager to launch. With this, Robinhood may have to tighten its hold on such evolving trends to stay in the race.