Robinhood has closed a $280 million Series F funding round led by Sequoia Capital that values the stocktrading app at $8.3 billion.
NEA, Ribbit Capital, 9Yards Capital, and Unusual Ventures joined the round, which was widely trailed and follows a $323 million raise last July.
With traditional retail brokerages such as E*Trade charging fees of anything up to $10 a trade, Robinhood has been a hit since launching in 2015, making it one of fintech's most valuable startups.
The firm has added three million funded accounts just this year and in recent weeks it has seen record revenue growth, with investors keen to take advantage of market volatility during the Covid-19 pandemic.
However, the increased demand has put strain on Robinhood's systems, with the app experiencing several outages during March. The company has promised to compensate investors affected by outages on a case-by-case basis. However, at least one person has already filed a lawsuit.
The new money will be used for "scaling our platform, building new products, and accelerating build-out of our operations," says a statement.