The trading app Robinhood Markets Inc. has filed confidentially for an initial public offering with the U.S. Securities and Exchange Commission, according to a Bloomberg report late Tuesday afternoon.
What Happened: Earlier press reports stated the company had been contemplating a public listing since last year, and the rumors intensified earlier this week when CNN speculated that the Menlo Park, California-based company was poised to go public.
"You would be negligent not to take the company public now," David Weild, the former vice chairman at Nasdaq, told CNN Business. "This is one of the greatest markets of all time. That stuff doesn't hang around long. So, full steam ahead."
Robinhood has reportedly decided to list on NASDAQ, although Bloomberg's sources added its plans could change.
See Also: How to Buy Stocks on Robinhood
Why It Matters: Robinhood's popularity grew during the COVID-19 pandemic when people forced to shelter at home tapped into the user-friendly online trading platform.
However, the company became the subject of controversy earlier this year when it abruptly decided to halt the purchase of Reddit-fueled stocks such as GameStop Corp. GME and AMC Entertainment Holdings Inc AMC during the so-called meme-stock frenzy, which resulted in lawsuits and congressional hearings.
Robinhood later confirmed Bloomberg's report but didn't offer any specific details.
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