Robinhood, the free stock and cryptocurrency trading app, made an announcement stating that it purchased the MarketSnacks media company. The company has also launched a ‘digestible’ financial newsletter called Robinhood Snacks based on the firm.
The newsletter has been renamed “Robinhood Snacks,” and will provide financial news with a humorous twist so it can be more easy to understand by the company’s younger audience. This was the firm’s first acquisition, which cost them $5 billion, and analysts believe this will shape the app into a one-stop shop for young investors.
We have news for you. Literally. We’re excited to share that we’ve acquired MarketSnacks, a top rated financial newsletter and podcast, and will be re-launching it as @RobinhoodSnacks, to help you get more informed on market news.https://t.co/68lSriRnct pic.twitter.com/6W5EhKzeqc
— Robinhood (@RobinhoodApp) March 25, 2019
Josh Elman, the company’s VP of product, posted in the company’s official blog the following:
“We improved market news coverage on our platform, added discovery tools on mobile, and revamped our Help Center to better answer your questions. Robinhood Snacks is a major step towards building out these resources and helping you get more informed on market news.”
MarketSnacks was a firm that was jointly launched in 2012 by Nick Martell and Jack Kramer, who will become managing editors of news for Robinhood to keep on working on the newsletter, which usually contains a photo and humorous analysis spanning three to four headlines.
The terms of the deal and the newsletters’ growth metrics were not revealed by Robinhood. According to Fortune, MarketSnacks had “tens of thousands of subscribers” two years ago.
In the announcement, Martell noted that although the newsletter will be incorporated into Robinhood’s product list, it will work as an independent faction from the rest of the company. He went on to say:
“A core element here is that ‘Robinhood Snacks’ will have editorial independence from the rest of Robinhood. We are committed to a set of editorial principles, just like any committed news organization.”
To access the Robinhood Snacks newsletter user will not be required to subscribe to any other Robinhood products. In addition to the newsletter, the company also bought the MarketSnacks podcast, in which the analysts dedicate their time to top crypto events of the day.
Robinhood has also expanded its list of supported cryptocurrencies in the past few months. However, it has received harsh criticism for the money it gained by using its customers’ data. It has also been reported recently that the company intends on going public through an initial public offering (IPO).