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Robinhood is ditching the controversial confetti feature that critics say turns investing into a game

Tim Levin   

Robinhood is ditching the controversial confetti feature that critics say turns investing into a game
Finance1 min read
  • Robinhood is getting rid of a confetti animation that appears when users make their first trade.
  • The company said Wednesday it plans to introduce new features to mark certain actions.
  • Robinhood has faced criticism over the way it gamifies investing for inexperienced traders.

Robinhood is getting rid of one of its most controversial features, the company announced Wednesday.

The stock trading website is redesigning the look of its interface, and that includes dumping one of its trademark features: a confetti animation that pops up after users make their first trade.

"In the past, we used the same confetti design to celebrate firsts with customers," Robinhood said in a blog post. "Those included customers' first trades, their first steps with cash management, and successful referrals of friends and family. Now, we're introducing new, dynamic visual experiences that cheer on customers through the milestones in their financial journeys."

The free stock trading app has caught heat from critics who say it makes investing too much like a game, enticing novice investors to trade obsessively and place bigger bets than they should. Robinhood's easy-to-use, flashy platform leads some inexperienced users to play the market compulsively, Insider previously reported.

Read more: GENERATION ROBINHOOD: How the trading app conditioned its inexperienced users to obsessively play the market

Robinhood, for its part, rejects the notion that it gamifies investing, saying instead that its sleek interface helps people invest more easily.

"Robinhood was designed to help investing fit easily into people's lives. That's why our app is simple, easy-to-use, bright-maybe even delightful," the company said in Wednesday's blog post.

Starting next week, Robinhood will roll out new animations to mark actions like making an inaugural trade, depositing money, or signing up for Robinhood's paid offering, Robinhood Gold.

The changes come as Robinhood faces heightened scrutiny over how traders use its app. In January, users pushed GameStop and other so-called meme stocks to record highs. The move comes as Robinhood prepares to go public.

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