HyperChange

HyperChange 16⚡ Robinhood & Perceived Solvency

02.03.2021 - By HyperChangePlay

Download our free app to listen on your phone

Download on the App StoreGet it on Google Play

Perceived Solvency = to continue to operate (and stay solvent) a company must maintain the perception of solvency among all of its stakeholders. Startups that burn cash are reliant on this notion of perceived solvency. Robinhood was asked to put up $3B in capital suddenly, and this appears to have caused a liquidity crisis at the firm. In the last week, Robinhood has raised $3.4B of new funding. Did Robinhood almost go bankrupt? What are your thoughts on perceived solvency?

More episodes from HyperChange