Robinhood Stock Prices Plummet Following Firing 9% of Workforce

• Crypto accounted for 41% of Robinhood’s overall income in Q2 2021.
• The price of HOOD has been declining steadily in a negative trend.

Following the firing of 9% of the company’s staff, HOOD stock has fallen to record lows. At $9.99 at this writing, HOOD is trading at its lowest price since Robinhoods initial public offering (IPO) in mid-2021. Since its all-time high of around $70.39 on August 4, 2021, the price of HOOD has been declining steadily in a negative trend, according to TradingView.

Period of Hyper-growth

In a blog post on Tuesday, Robinhood CEO and co-founder Vlad Tenev disclosed the company’s recent employee reorganization. He added that from 700 to roughly 3800 personnel, the company went through a “period of hyper-growth” between 2020 and H1 2021.

Future plans for Robinhood include “key new products across Brokerage, Crypto, and Spending/Saving,” which the company says it will continue to roll out in 2022, citing $6 billion in the capital on its balance sheet.

According to Robinhood’s financial results for the year ending December 31, 2021, the company’s total revenue was $1.82 billion, increasing 89 percent from the same period in 2020. Compared to the previous year, crypto transaction income amounted to $419 million in 2021, a rise of 1451 percent. Crypto accounted for 41% of Robinhood’s overall income in Q2 2021.

However, it’s important to remember that the percentage had plummeted to roughly 13% by the fourth quarter. This year, Robinhood hasn’t shown any signs of losing interest in the crypto space, as seen by the several steps to increase its cryptocurrency services.

Also, this month, Robinhood announced intentions to incorporate the Lightning Network and listed Shiba Inu (SHIB) following months of activism by fans. Robinhood also launched its much-awaited crypto wallet for two million waitlisted members.