Commission-free stock trading and investing app, Robinhood Markets Inc has announced its plans to buy Ziglu Limited, a UK-based electronic money institution, and cryptoasset firm. The trading platform with deep interests in digital assets trading confirmed this move on Tuesday, noting that the deal is subject to regulatory approvals.
Robinhood extended its commission-free business model into the digital currency trading ecosystem and its platform has become a very popular avenue for crypto lovers with a focus on Bitcoin (BTC) and Dogecoin (DOGE) in particular.
The platform noted that its decision to acquire Ziglu is hinged on its strategies to connect with a more global audience, one which the startup will make possible in the UK and the European region.
“Ziglu and Robinhood share a common set of goals, working to reduce the barriers to entry for a new generation of investors, and we’re excited to pursue that mission together,” said Mark Hipperson, Founder, and CEO of Ziglu. “As part of Robinhood, we’ll supercharge Robinhood’s expansion across Europe and bring better access to crypto and its benefits to millions more customers.”
Combining Robinhood and Ziglu Cultures
While Robinhood said the acquisition will not bring immediate changes to Ziglu’s existing customers, it noted that in the long term, the Robinhood culture will be integrated for everyone’s benefit. As announced, the current Ziglu team will be very instrumental in helping Robinhood power the growth it has earmarked for itself in the long term.
“Ziglu’s impressive team of deeply experienced financial services and crypto experts will help us accelerate our global expansion efforts,” said Vlad Tenev, CEO and Co-Founder of Robinhood Markets. “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 UK and Europe.”
The size of the investment deal was not disclosed, however, the choice of Ziglu does not stem from the potential valuation, but rather from the close similarities to the absence of trading fees for users. The Ziglu platform grants its users an opportunity to “buy and sell eleven cryptocurrencies, earn yield via its ‘Boost’ products, pay using a debit card, and move and spend money, even abroad, without fees.”
With more exciting products including the new crypto wallets underway, Robinhood is aligning its capabilities to tally more as a global competitor in the digital currency ecosystem.