RE: This is the start of the "Race to the Bottom"!
Robinhood has roughly 3 million users currently, and of those 3 million about 80% would be classified as millennials.
Millennials are the primary purchasers of cryptocurrency.
As true as this seem, it isn't a good basis to rate anything crypto at the moment because, once something is about money, everybody rushes it. Not just millennials. We might say millennials are the early adopters but from signals I have seen in my home country Nigeria, a lot of people are coming into crypto big time and they can not be grouped into any category. Even illiterate are coming in, I mean people with no formal education.
Furthermore,in my country, millennials are heavily disadvantaged in terms of funds, older people seem to have more money to enter into it and they are coming in fast.
Robinhood could be one of the first real competitors to Coinbase.
As true as this is, their limited customer-base is a little worrisome. Crypto is all about decentralization meaning there are no boundaries , so when a crypto-enterprise starts with limitations and boundaries, it's a bad basis. it makes it look like a bank- the exact opposite of what a crypto-trading platform should be.
We saw it in the 90's and early 2000's with retail brokerages. At first, in order to make a stock trade it would have to be done over the phone with a broker and it would cost anywhere from $50-$300, depending.Then online brokers starting popping up and offering the same service for $20-$30.
You are so right with this, but I assure you, fee-less trading is going to be the order of the day soon because decentralization as a philosophy is not in support of having to pay to send money. It makes it look like a bank and the hidden motive of the decentralization/blockchain community is to make banks archaic. So, if a trading platform wants to survive on the long term, it should look at how they can achieve profitability without having to charge traeing fees, same for crypto-technologies like the blockchain and it's sister-technologies.
Thanks for the info @jrcornel
Right on man!
Is fee-less trading even possible?
In order to run a transaction, most cryptocurrencies require a mining fee to be paid. I certainly think we can expect significantly lower fees, but fee-less might be a bit of a stretch - At least with BitCoin, Ethereum, and the other main cryptos that are currently in existence. They rely on mining fees as incentive for the miners to operate the network. Without that, how will the network run?
They stated that they "hope to break even" on the initiative, so perhaps their charged premium service plus the interest they may charge on tokens held on their exchange might be enough to cover those mining fees.
Well, I understand you perfectly. But then was it really possible 5 years for an individual to print his / her money and give it out to people and yet his money never depletes. No, that is impossible. But then, is that not what the steem blockchain is all about.
I am all for the future. Now, money can be printed via crypto, the next stage is how to send that money without having to pay. One more time, that is what the steem blockchain has achieved by giving incentives to the miners in a different way.
When it comes to innovation, you don't look at
what is, you look atwhat should be.For instance, Facebook serves us ad but in the real sense, some of these ads are suggestions that we need, they get paid for that and we get value for that but guess what, the advertisers pay for the value we get because it is a joint value.
Nothing is impossible! Nothing! before satochi did this whole thing, zero double spending was a myth. right?