Robinhood raised an additional $2.4B yesterday, bringing its total to $3.4B since last Thursday. The online brokerage platform has seen record growth amid the recent market volatility linked to the short squeezes of several companies (e.g. GameStop and AMC). Robinhood faced widespread backlash last week after restricting certain transactions, which the company later said was due to clearinghouse deposit requirements. The new funding is expected to help Robinhood meet the collateral requirements necessary to potentially remove the restrictions.
Extra: Here’s a blog post explaining why Robinhood implemented the restrictions last week and the announcement covering the new funding.