Robinhood Up 160% in 2025, But May Face Obstacles

Robinhood's stock hit is up more than 160% for 2025, reports CNBC, and the trading platform's own stock hit an all-time high on Friday. But "Despite its stellar year, the online broker is facing several headwinds..." Florida Attorney General James Uthmeier opened a formal investigation into Robinhood Crypto on Thursday, alleging the platform misled users by claiming to offer the lowest-cost crypto trading. "Robinhood has long claimed to be the best bargain, but we believe those representations were deceptive," Uthmeier said in a statement. The probe centers on Robinhood's use of payment for order flow — a common practice where market makers pay to execute trades — which the AG said can result in worse pricing for customers.

Robinhood is also facing opposition to a new 25% cut of staking rewards for U.S. users, set to begin October 1. In Europe, the platform will take a smaller 15% cut. Staking allows crypto holders to earn yield by locking up their tokens to help secure blockchain networks like ethereum, but platforms often take a percentage of those rewards as commission. Robinhood's 25% cut puts it in line with Coinbase, which charges between 25.25% and 35% depending on the token. The cut is notably higher than Gemini's flat 15% fee. It marks a shift for the company, which had previously steered clear of staking amid regulatory uncertainty...

The company now offers blockchain-based assets in Europe that give users synthetic exposure to private firms like OpenAI and SpaceX through special purpose vehicles, or SPVs. An SPV is a separate entity that acquires shares in a company. Users then buy tokens of the SPV and don't have shareholder privileges or voting rights directly in the company. OpenAI has publicly objected, warning the tokens do not represent real equity and were issued without its approval... "What's important is that retail customers have an opportunity to get exposure to this asset," [Robinhood CEO Vlad Tenev said in an interview with CNBC], pointing to the disruptive nature of AI and the historically limited access to pre-IPO companies. "It is true that these are not technically equity," Tenev added, noting that institutional investors often gain similar exposure through structured financial instruments...

Despite the regulatory noise, many investors remain focused on Robinhood's upside, and particularly the political tailwinds.

Nobody

[Valgrus Thunderaxe]

has *ever* been wrong, even once, in the totality of history, by investing in actual and tangible precious metals.

Robinhood = predatory, sketchy and legal.

[hdyoung]

Robinhood charges stupidly low fees for stock purchases. But they make it up by manipulating the timing of the buy/sell actions, which raises costs for the customer and puts $ in Robnhoods pocket, but it’s invisible to an unsophisticated investor. Which is pretty much Robinhoods entire customer base. From a regulatory perspective, I think the consensus is that its nasty but legal.

Now they’re linking further with crypto? Well, it doesnt affect me. I wasnt using Robinhood before and the abilit

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[martin-boundary]

...because Disney rehabilitated him? [wikipedia.org]

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[TechyImmigrant]

Since leaving Intel a year ago, I make my living day trading. I'm doing fine and I can do the mathematics. Random time series analysis is not a challenge for me.

Fidelity apply arbitrary rules that make no sense and generally get in the way of trading. Like day trade violations on days I didn't trade.

I switched to Robin Hood and it's been plain sailing. I make more money on Robin Hood. They don't screw with me. They provide adequate warning if I'm getting close to any limits and they don't hallucinate violat

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[parityshrimp]

I make my living day trading. I'm doing fine and I can do the mathematics.

These two sentences do not hang together, at least not over the long term. The people on the other side of your trades have more and better information, more resources (human, computing, capital, you name it), and better trade execution. It's possible to be lucky for a while.

Please track your performance net of fees and taxes against the same capital allocated to a low expense ratio index fund.

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[hdyoung]

You cant convince daytraders that they’re gambling. Every single one of them is absolutely convinced that they’ve broken the code to free money. I knew one musician who was certain that he could “see patterns” in price fluctuations and various technical people who would apply *insert-favorite-mathematical-method-here*

When the market is rising, making money day trading is as easy as closing your eyes and throwing a dart, and everyone thinks they’re a genius. Most of them qui

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[TechyImmigrant]

>You cant convince daytraders that they’re gambling.

I know I'm gambling, but with the odds very much better than at the blackjack table. You can manage risk in multiple ways.
As for patterns, the are statistical things that are less like patterns but more like low or high entropy states which you can identify if you know how. See my book referenced in my sig for evidence I might have a clue in this regard.

I got a year's wages when I left Intel. I set a goal to survive 1 year and keep my capital. The

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[TechyImmigrant]

>Please track your performance net of fees and taxes against the same capital allocated to a low expense ratio index fund.

YTD I'm making 62% return in Robinhood. That is from March when I switched. I made some more in Fidelity before March but that number is harder to find because Fidelity sucks. Right now the S&P500 is up 6.43% YTD. My pot of cash started as the payoff from Intel's layoff. It's now a bigger pot of cash and I've also been paying myself out of that pot.

I am fully aware that others hav