There may be infinite cash for stock-trading startups – TechCrunch

Welcome back to The TechCrunch Exchange, a weekly newsletter for startups and markets. It is largely based on The daily column that is displayed for Extra Crunchbut free and made for your weekend reading. Would you like it in your inbox every Saturday morning? register Here.

Ready? Let’s talk about money, startups and hot IPO rumors.

TechCrunch earlier this week brought the news This public, a consumer stock trading service, was about to raise more money. Business Insider quickly fill in details around the round that it could be around $ 200 million with a value of $ 1.2 billion. Tiger could lead.

The public wants to be the anti-robinhood. With a Focus on social, and a move away recently By generating payments for PFOF (Order Flow) revenue, which drove and criticized Robinhood’s business model, Public placed its bets. And investors are ready to turn it into a unicorn after their rival’s problems.

Of course, the public round follows Robinhood’s Epic $ 3.4 Billion Donation, a deal that was shocking for both its size and its speed. The trade service investors came into effect to ensure it had the capital it needed to continue supporting the consumer trade. Many thanks to Robinhood strong results for the fourth quarter of 2020, and implied growth in the first quarter of 2021the increased investment made sense.

As does public money, provided 1) the company sees strong user growth and 2) that it figures out its business model on time forever. We cannot comment on the second point, but we can say something about the first point.

Not really thanks to Public, but to M1 Finance, a Midwest-based fintech company that, among other things, has a share buying function (more on this) Here). TechCrunch said the number of registrations in January quadrupled compared to December. In the last two weeks there were six times as many registrations as in the last two weeks.

Given that M1 does not allow for trade – which his team has repeatedly emphasized in Notes to TechCrunch – we cannot draw the perfect line between M1 and Public and Robinhood, but we can conclude that there has been a great deal of consumer interest lately Investment exists. This explains why the public looking for a way to generate long-term income can raise another round just months after completing another investment.

Our Notes from last year How savings and investments were the new thing last year accidentally becomes even truer than we expected.

Market notes

When the week came to an end, Coupang went public. You can read our first look Herebut it will be big news. Matterport is also at the IPO beat go out through a SPAC, I spoke to Dan Preston, CEO of Metromile about his Insurtech public offering this week, which also came through a SPAC, and so on.

Oscar Health submitted and it doesn’t look super strong. That’s the way it is upcoming evaluation will test public traders. That’s not a problem Bumble had with it Price over this week’s range and then it exploded after it started acting. Natasha and I (she is on equityalso have some notes from Whitney Wolfe Herd, CEO of Bumble, which we will be reporting back to you early next week. (Also, I spoke to the BBC about going public a couple of times, which was neat, the first of which is possible It starts here if you want.)

Roblox’s upcoming public debut was also back in the news this week. The company was a little bigger than it thought last year (cool), but can move the direct quotation to March (not cool).

Just before going public, Carta recently began trading its own shares amid news of its earnings scaled to around $ 150 million. Not a bad carta, but how about a real IPO instead of staying private? The company valuation more than doubled during the secondary transitions.

And then there were so many cool venture capital rounds that I couldn’t get to them this week. This Please health round, for example. And whatever these Slync.io messages are. (If you want something earlier, check out the final laps from Treinta, level, ramp and Monte Carlo.

And finally a little note to Ontic, who provides “Protective Intelligence Software” and said this Sales increased 177% last year. I appreciate dividing the numbers so I wanted to highlight the number.

Miscellaneous and miscellaneous

To wrap up this week, I have one last piece to read from Mark Mader, CEO of Smartsheet, a public company. former startIt’s worth noting that this plays a role in the markets without code, automation, and collaboration. That’s a rough summary. Anyway, I asked Mader about no-code trends in 2021 since I have my eye on space. He wrote the following for us:

If you thought the sudden move to remote working accelerated the move of American businesses to digital, you haven’t seen anything. The digital transformation will accelerate even faster in 2021. Over the past year, the workforce has been exposed to many different types of technology at the same time. For example, a company might have deployed Zoom or DocuSign for the first time. Much of this shift, however, consisted of taking analog processes like meetings or signing and approving documents and bringing them online. Such things are only a first step. 2021 is the year in which companies begin to connect major digital events with an infrastructure that makes them automated and repeatable. It’s the difference between one person signing a document and hundreds of people signing hundreds of documents, each with different rules. And that’s just an example. Another use case could be linking HR software with project management software for automated real-time resource allocation that enables a company to get more out of both platforms and its employees. Those companies that can automate and simplify complex workflows like this will see dramatically improved efficiency and ROI on their technology investments, putting them on the path to real transformation and profitability.

We will see!

Alex