Shares of Robinhood Markets (NASDAQ:HOOD) gained 4% on September 27 after the company announced the roll-out of the latest non-custodial crypto wallet to selected 10,000 customers.
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With the help of the new “beta launch” of the Robinhood Wallet, customers will enjoy complete custody of their funds and will be able to trade as well as swap crypto. They can also earn crypto rewards, and store and track their blockchain portfolios.
Unlike its peers like Coinbase Global (COIN), Robinhood Markets will not charge its customers a network fee for transactions. Services like viewing and trading nonfungible tokens (NFTs) will not be available for now but may be added later.
To begin with, the wallet will team up with Polygon as the first blockchain network. In a few months, Robinhood intends to make it a multichain wallet that will support a higher number of blockchains.
In a blog post, the company stated that Polygon was the preferred choice based on its “scalability, speed, low network fees, and robust developer ecosystem to provide one of the best trading experiences.”
Is Hood Buy, Sell or Hold?
The Wall Street community is currently neutral about the HOOD stock. Overall, the stock has a Hold consensus rating based on three Buys, four Holds, and three Sells.
Robinhood Markets stock’s average price target of $11.80 implies 22.79% upside potential from current levels.
Concluding Thoughts
The Robinhood Wallet was initially launched in May this year. The quick launch of the second wallet reflects the company’s continued commitment to the crypto space.
The company is expected to report its Q3 results on October 25. HOOD shares surged last week after the U.S. Securities and Exchange Commission (SEC) did not ban Payment-for-Order-Flow (PFOF).
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