- For its second venture fund, RVII, Robinhood raises $225.5 million. Retail investors can access private startups through Robinhood Ventures Fund II.
- RVII focuses on startups and expanding businesses. The total value locked (TVL) of Robinhood Chain approaches $1 billion.
- The Robinhood Chain is gaining liquidity thanks to Uniswap integration. UNI token burns are largely caused by expenses associated with Robinhood.
Robinhood has started an investment fund called Robinhood Ventures Fund II, also known as RVII. The fund collected $225.5 million through an offering on the New York Stock Exchange. It sold 8 million shares for $25 each, allowing regular investors to gain exposure to fast-growing private companies.
RVII will mainly focus on startups linked to Y Combinator, a major startup accelerator whose former and current companies include Coinbase, Reddit, and OpenAI.
Robinhood has not said how much of the fund will go toward crypto or blockchain startups. However, its focus on technology companies could give investors indirect exposure to the sector.
RVII follows Robinhood Ventures Fund I (RVI), which launched in March and focuses more on later-stage private companies. RVI has already invested in companies such as the live shopping platform Whatnot.
Robinhood says it is also planning future venture funds, with funds three through six already being considered.
Robinhood Chain Builds Nearly $1B In TVL
At the same time, Robinhood is making a major push into blockchain through Robinhood Chain. Standard Chartered analyst Geoffrey Kendrick said the network has reached nearly $1 billion in total value locked (TVL), making it one of the fastest-growing blockchains by that measure.
Much of the liquidity on Robinhood Chain is coming through Uniswap V2, V3, and V4. This gives the new blockchain access to established decentralized finance infrastructure instead of having to build liquidity from the ground up.
The partnership is also affecting Uniswap’s token economics. Standard Chartered said Robinhood-related fees have become the largest source of UNI token burns. The annualized burn rate has roughly doubled since the fee switch was activated on July 27, reaching about $90 million.
Robinhood Pushes Further Into Crypto
Robinhood Chain launched on July 1 with a focus on bringing real-world assets onchain. It quickly gained users, reaching 194,000 daily active users during its first week.
The company is also expanding its crypto services, prediction markets, and tokenization business. Its recent UK crypto rollout gives eligible customers access to more than 50 digital assets through Bitstamp UK.
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