Gurley says Robinhood makes 4x more revenue on options trades than stock trades despite democratization claims
“they make about 4x the amount of revenue on a option trade than they do a stock trade. Why do I bring this up?”
Gurley says over half of Robinhood's revenue comes from payment for order flow for options, which history shows loses money.
“Over half of the revenue that Robinhood has reported is payment for order flow for options.”