Robinhood Undecided on Shiba Inu
Earlier this month, Robinhood CFO said that the company was not ready to increase its presence in the crypto market segment, which was a major disappointment for Shiba Inu fans who hoped that the popular broker would finally list the meme coin.
During the earnings call, the company’s CEO Vlad Tenev said that Robinhood was proactively engaging with regulators to respond to customers’ demands to list more cryptocurrencies.
However, Robinhood was worried that a large number of coins could be considered unregistered securities by the SEC. As a reminder, the SEC vs Ripple court battle is still ongoing, and its results could have a huge impact on the crypto market, especially if SEC wins the case.
Traders Will Likely Have To Wait for the Results of SEC v. Ripple Case
Robinhood added that it intended to add more coins to the platform, but that it would be acting prudently. At this point, it looks that legal concerns are the main obstacle in the way of new listings.
It is highly likely that Robinhood, which is still not profitable and whose stock is down by almost 90% from 2021 highs, will avoid taking too much risk on the crypto front.
This is bad news for Shiba Inu bulls who desperately need a positive catalyst as the meme coin continues to slide amid general crypto market weakness and rising popularity of NFTs, which may have served as a substitution to meme stocks and meme coins for some traders and investors.
I’d also note that Shiba Inu bulls should not view the potential Robinhood listing as some kind of silver bullet that will solve all problems. Dogecoin is already available on Robinhood and support from the company’s clients failed to provide enough support to the meme coin in recent months.