Robinhood is a popular stock trading platform and, since 2018, has also been trading cryptocurrency. It operates in the U.S. market and has already planned to expand worldwide for two years. Ziglu’s acquisition plan to enter the UK market was already in place since 2020.
Robinhood’s acquisition of Ziglu
The attractive European market prompts Robinhood to make the first landing in the U.K., as it had already tried in 2020 without concluding, however.
In this regard, the Robinhood team jokes on Twitter with a post published on its profile, saying:
This aged well… https://t.co/OCQNby71Cw https://t.co/YgjYSHVGru
— Robinhood (@RobinhoodApp) April 19, 2022
“This aged well…”
That was in response to an old tweet by Ziglu where it stated that the launch of the Robinhood app in the U.K., initially scheduled for 2020, had been postponed.
Just yesterday, however, the U.S. trading platform announced that it had signed an agreement to acquire Ziglu.
Ziglu is a platform that specializes only in buying and selling crypto and offering special boost services with APY up to 5%, operating in the U.K.
Robinhood’s global expansion plan
Robinhood renews its international expansion plan by entering the U.K. market to reach all over Europe.
In the official press release, in fact, the vision and mission of the U.S. company are clear, stating:
“At Robinhood, our mission to democratize finance for all can only be achieved if we reach people around the world. That’s why earlier this year, we announced that we’ve set aggressive goals to start opening our crypto platform up to customers internationally.”
Obviously, with such an expansion plan, among the toughest things falls the attention of one’s operational compliance. That must fulfill the regulations in place in the geographic area where you want to start a business, whatever that may be.
That’s why through the acquisition of Ziglu, Robinhood aims to leverage the acquired company’s know-how not only from a practical and technical point of view but also from a compliance point of view.
In fact, Ziglu already operates in full compliance with British legislation, and Robinhood will only need to adopt the same model.
Concerning the international expansion plan, Robinhood CEO and Co-Founder Vlad Tenev states with great satisfaction that:
“Ziglu’s impressive team of deeply experienced financial services and crypto experts will help us accelerate our global expansion efforts. Together with the Ziglu team, we’ll work to leverage the best of both companies, exploring new ways to innovate and break down barriers for customers across the U.K. and Europe.”
Source: https://en.cryptonomist.ch/2022/04/20/robinhood-acquires-ziglu-crypto-company/