By Nathan Ferguson
Robinhood, a crypto exchange headquartered in California, is doing another effort to get prominence in European and the United Kingdom-based markets with the takeover of Ziglu (a trading application based in London), as reported by CNBC. Ziglu permits the consumers to trade 11 diverse crypto tokens along with earning interest over the BTC (Bitcoin) asset. As per Robinhood, the platform will assist to speed up its global growth, taking into account both the United Kingdom as well as Europe.
Robinhood acquires Ziglu
The contract’s particular conditions have not been disclosed yet. Nonetheless, as of 2021’s September, the value of the venue (which was established in 2014) was nearly £85 million (approximately $111 million). While speaking following the declaration, mark Hipperson (the CEO and founder of Ziglu) stated that Robinhood and Ziglu have a series of analogous objectives, operating to minimize the hindrance in accessing the investors’ unique generation.
He expressed being thrilled to achieve similar goals. Apart from this, Robinhood will have an expansion throughout Europe and provide improved crypto access as well as advantages to millions of additional consumers. Robinhood acquired a license from FCA (Financial Conduct Authority) in 2019 however dumped the strategy to operate in the United Kingdom following the suicide committed by one of its consumers. The respective person falsely considered having lost up to $700,000 through the application’s usage.
The decision to delay the services was shared in a post on the official Twitter account of Ziglu. Robinhood, at that point, mentioned investing in the foundational systems as well as operating to fortify its fundamental business in the United States. Nevertheless, Ziglu seemed to be pleased with the opportunity to clean up the frustrated traders on the waiting list of Robinhood.
Obtaining accreditation from FCA and uncertainty
Since 2020’s January, any institution intending to offer particular products or services dealing with crypto in the United Kingdom requires to completely abide by the MLRs (money laundering regulations) of FCA. The original FCA-based license of Robinhood did not incorporate this accreditation. But, Ziglu is at present among just 34 crypto firms across the United Kingdom to secure a green signal from the regulator.
Formerly this month, the crypto firm named Copper Technologies (which is not provided a go-ahead signal from FCA) remained unable to accomplish a funding round of $500 because of partial uncertainty surrounding the firm.