Finances have been changing all over the globe and there has been a rise in the digital finance giants which are mostly tech giants in general terms and these have been the major hit in the markets these days as they have been the only ones that have been able to cap the markets and take the maximum benefits even when the traditional banking and finance practices are failing miserably in the times of global and national economic slowdown. The United States-based finance giant Robinhood had previously filed for a banking charter to become a bank.
Robinhood has been known all over the world for its digital finance services and trading platforms, which allow trading without any processing fees, which has been a great deal for the investors and traders out there. The company had filed for a bank charter and had been in the process for months, but now it has decided to pull out of this and instead will be focusing on the partnerships to provide the banking products which, if the charter went through Robinhood would have done by themselves. The company has also made it clear that they have no plans of resubmitting the application, so we should expect that they won't be any chance that the financial giant will be becoming a bank anytime soon.
They also stated that they were voluntarily withdrawing their application, and we think that this might be the best decision as the company is better for being a fintech giant than a bank.
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