Robinhood could lose one of the main chips - confetti animation

After making some trades in the Robinhood app, users see confetti animations on the screen. It is assumed that this small detail may have a significant impact on the behavior of inexperienced investors

The Robinhood app may lose one of its main visual features - bright animation in the form of confetti. This is reported by Bloomberg citing sources.

Over the past year, Robinhood has repeatedly found itself in the spotlight, as it has attracted millions of new customers with a lack of transaction fees, as well as a convenient and vibrant interface. However, Bloombergnotes, it is the gamification of the mechanics of the Robinhood application that can help inexperienced users make impulsive transactions - this, the agency writes, previously pointed out by observers.

Now Robinhood is thinking about giving up the animation confetti - so the app will look less like a game.

In late January, Robinhodd was audited by U.S. regulators after it restricted trading in "meme" shares, including soaring GameStop securities. In February, Vlad Tenev, Robinhood's chief executive, appeared before Congress and answered questions about how justified the ban was amid high volatility.

Last year, Massachusetts financial regulators filed a complaint against Robinhood, accusing the service of encouraging frequent trading through confetti animation and regular notifications that encourage users to interact with the app.

"While we have made the investment process easier, we recognize that this is not a game," Tenev was quoted as saying during a bloombergstatement to Congress. He also stressed that the app uses confetti animation "economically" rather than after every transaction, and said the company does not practice using virtual rewards to encourage investment.