Stake (platform)
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| This article, Stake (platform), has recently been created via the Articles for creation process. Please check to see if the reviewer has accidentally left this template after accepting the draft and take appropriate action as necessary.
Reviewer tools: Inform author |
Comment: Thanks @Robert McClenon:
- Comment: This draft has a disambiguated title.If this draft is accepted, an entry will need to be added to the disambiguation page for the primary name.The disambiguation page for the primary name is Stake (disambiguation). Robert McClenon (talk) 01:06, 5 February 2022 (UTC)
- Comment: Thanks @Robert McClenon:
 Stake logo since September 2021 | |
| Company type | Privately held company |
|---|---|
| Industry |
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| Founded | April 1, 2016 in Sydney, Australia |
| Founder |
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| Headquarters | Sydney , Australia |
Area served |
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Key people |
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Number of employees |
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| Website | https://hellostake.com |
Stake is an Australian financial services company headquartered in Sydney, Australia. Stake predominately offers low-cost brokerage services to retail investors in Australia, New Zealand, Brazil and the United Kingdom.
The company was created by Matt Liebowitz, a former partner in the derivatives trading firm Optiver[1], and Dan Silver.
As of February 2022, Stake had over 450,000 users making it the 3rd largest online broker in Australia.[2]
Background
Stake was created in 2016[3] to enable Australians to trade shares on the NYSE and NASDAQ, which at the time was a novelty in Australia.[4]
In 2019, Stake raised $3.5 million AUD from Ellemby Capital and its chairman, Brazilian entrepreneur and investor Sergio Kulikovsky.[5] The company claimed to be trading profitably at this time.[6]
In May 2021, Stake raised an additional $40 million AUD from Tiger Global Management[7] and DST Global[8] to expand into other markets.
In November 2021, Stake was recognised as the 7th fastest growing company in Australia[9]
In December 2021, Stake launched the ability for the Australian public to trade shares on the ASX and Chi-x.[10]
Controversy
As a low-cost broker targeted towards retail investors, Stake played a pivotal role in the GameStop short squeeze in Australia. Following coverage on the GameStop saga on media and social media, hundreds and thousands of investors joined the Stake platform to participate in GameStock trading. On Thursday, 28 January 2021, Stake reported tech outages as a result of a sudden increase in new users.[11][12] On Monday, 1 February 2021, the broker-dealer DriveWealth significantly raised its capital requirements for trading in the the GameStop stock in an attempt to tame the wild fluctuations in price. Customers reportedly threatened legal action regarding their inability to place or close trades in the stock[13]
References
- ^ White, Louis (2018-10-30). "Stake's Founder Threw In A Highly Paid Job To Start An Investment App". GQ. Retrieved 2022-02-04.
- ^ "Budget broker Stake snares 54,000 ASX traders". Australian Financial Review. 2022-01-06. Retrieved 2022-02-02.
- ^ "Aussie company Stake lets you trade US shares from your phone – opening up Wall Street for your trading side hustle". Business Insider Australia. 2019-10-17. Retrieved 2022-02-04.
- ^ "Cut the cost of trading international shares". www.intheblack.com. Retrieved 2022-02-02.
- ^ Koehn, Emma (2019-08-04). "'Be your own hedge fund': Investment startup Stake raises $3.5m". The Sydney Morning Herald. Retrieved 2022-02-02.
- ^ Koehn, Emma (2019-08-04). "'Be your own hedge fund': Investment startup Stake raises $3.5m". The Sydney Morning Herald. Retrieved 2022-02-02.
- ^ "Tiger Global-backed startup brings $2 brokerage to Australia". euronews. 2021-09-13. Retrieved 2022-02-04.
- ^ Waters, Cara (2021-05-17). "Aussie trading app Stake rebounds after GameStop frenzy with $40m raising". The Sydney Morning Herald. Retrieved 2022-02-02.
- ^ "The fastest growing start-ups in Australia". Australian Financial Review. 2021-11-28. Retrieved 2022-02-02.
- ^ Purcell, Kylie (2021-09-15). "Stake launches $3 ASX stock trades – is it the cheapest trading app? | Finder". finder.com.au. Retrieved 2022-02-04.
- ^ Vickovich, Aleks (January 29, 2021). "Online broker Stake crashes amid Reddit trading frenzy". Australian Financial Review. Retrieved February 2, 2022.
{{cite web}}: CS1 maint: url-status (link) - ^ Kruger, Colin (2021-01-31). "Stake scrambles to fix outage triggered by GameStop trade frenzy". The Sydney Morning Herald. Retrieved 2022-02-02.
- ^ Kruger, Colin (2021-02-02). "Local broker Stake forced to suspend GameStop trading". The Sydney Morning Herald. Retrieved 2022-02-02.