{"id":14150,"date":"2021-12-10T12:41:12","date_gmt":"2021-12-10T16:41:12","guid":{"rendered":"https:\/\/bazaarexpert.com\/?p=14150"},"modified":"2022-01-04T22:40:58","modified_gmt":"2022-01-05T02:40:58","slug":"how-does-webull-make-money","status":"publish","type":"post","link":"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/","title":{"rendered":"The Webull Business Model: How does Webull make money?"},"content":{"rendered":"\n<p>Are you curious about how does <a href=\"https:\/\/www.webull.com\/\" class=\"ek-link\" target=\"_blank\" rel=\"noopener\">Webull<\/a> make money? <\/p>\n\n\n\n<p>In 2017, a little-known trading platform called Webull Financial LLC began to gain exposure for its products and services. Soon after, Webull gained popularity amongst retail investors and became one of the top-rated stock trading apps among online brokers garnering over 2 million downloads.&nbsp;<\/p>\n\n\n\n<p>Webull is popular with new investors because they offer a free stock for getting started with a trading account also offers free stocks for referrals. In the past, investors were used to paying commissions to brokers when trading stocks. However, Webull allows its users to invest in the stock market without paying commissions. Let&#8217;s explore the business model of Webull and how Webull makes money.&nbsp;<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_51 counter-hierarchy ez-toc-counter ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\" role=\"button\"><label for=\"item-661840f30d9fe\" ><span class=\"\"><span style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #333333;color:#333333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #333333;color:#333333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input aria-label=\"Toggle\" aria-label=\"item-661840f30d9fe\"  type=\"checkbox\" id=\"item-661840f30d9fe\"><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-visibility-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Webull_Company_Profile\" title=\"Webull: Company Profile\">Webull: Company Profile<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#What_is_Webull\" title=\"What is Webull?\">What is Webull?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#How_does_Webull_work\" title=\"How does Webull work?\">How does Webull work?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Who_owns_Webull\" title=\"Who owns Webull?\">Who owns Webull?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#How_was_Webull_started\" title=\"How was Webull started?\">How was Webull started?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Webull%E2%80%99s_growth\" title=\"Webull&#8217;s growth\">Webull&#8217;s growth<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Webull%E2%80%99s_Statistics\" title=\"Webull&#8217;s Statistics\">Webull&#8217;s Statistics<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#How_does_Webull_make_money\" title=\"How does Webull make money?\">How does Webull make money?<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Payments_on_order_flow\" title=\"Payments on order flow\">Payments on order flow<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Margin_fees\" title=\"Margin fees\">Margin fees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Interest_on_cash_holdings\" title=\"Interest on cash holdings\">Interest on cash holdings<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Short_selling_fees\" title=\"Short selling fees\">Short selling fees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Other_fees\" title=\"Other fees\">Other fees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Subscription_fees_for_premium_services_and_investment_products\" title=\"Subscription fees for premium services and investment products\">Subscription fees for premium services and investment products<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Final_Thoughts\" title=\"Final Thoughts\">Final Thoughts<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#Frequently_Asked_Questions\" title=\"Frequently Asked Questions\">Frequently Asked Questions<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#1_Is_Webull_safe\" title=\"1. Is Webull safe?\">1. Is Webull safe?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#2_Is_Webull_legit\" title=\"2. Is Webull legit?\">2. Is Webull legit?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#3_Does_Webull_sell_data\" title=\"3. Does Webull sell data?\">3. Does Webull sell data?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#4_Does_Webull_offer_customer_support\" title=\"4. Does Webull offer customer support?\">4. Does Webull offer customer support?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#5_Does_Webull_charge_commissions\" title=\"5. Does Webull charge commissions?\">5. Does Webull charge commissions?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#6_What_products_can_I_trade_on_Webull\" title=\"6. What products can I trade on Webull?\">6. What products can I trade on Webull?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#7_Can_I_withdraw_money_from_my_Webull_account\" title=\"7. Can I withdraw money from my Webull account?\">7. Can I withdraw money from my Webull account?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-24\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#8_Is_Webull_a_scam\" title=\"8. Is Webull a scam?\">8. Is Webull a scam?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-25\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#9_Does_Webull_provide_market_news\" title=\"9. Does Webull provide market news?\">9. Does Webull provide market news?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-26\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#10_What_is_the_minimum_account_balance_for_Webull\" title=\"10. What is the minimum account balance for Webull?\">10. What is the minimum account balance for Webull?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-27\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#11_How_much_does_it_cost_to_open_an_account_with_Webull\" title=\"11. How much does it cost to open an account with Webull?\">11. How much does it cost to open an account with Webull?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-28\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#12_How_do_I_deposit_money_into_my_Webull_account\" title=\"12. How do I deposit money into my Webull account?\">12. How do I deposit money into my Webull account?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-29\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#13_Can_I_short_sell_on_Webull\" title=\"13. Can I short sell on Webull?\">13. Can I short sell on Webull?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-30\" href=\"https:\/\/bazaarexpert.com\/how-does-webull-make-money\/#14_How_do_I_create_an_account_on_Webull\" title=\"14. How do I create an account on Webull?\">14. How do I create an account on Webull?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Webull_Company_Profile\"><\/span><strong>Webull: Company Profile<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_Webull\"><\/span><strong>What is Webull?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Webull is one of the top apps in the finance category. It was founded in 2017 and has quickly grown to 2M+ downloads. Webull is a mobile stock trading platform that provides commission-free trades with no minimum deposit needed.<\/p>\n\n\n\n<p>Not only that, but Webull also offers free real-time data for stocks, Exchange Traded Funds (ETFs), options, and cryptocurrencies in the US, Canada, and Hong Kong markets.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_does_Webull_work\"><\/span><strong>How does Webull work?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Webull is one of the most popular apps for millennial investors. But what makes this trading platform stand out is they offer commission-free trades along with premium features usually found in paid online brokerages.<\/p>\n\n\n\n<p>They also offer tools to help traders analyze market trends and gain insights to manage their portfolios. Additionally, they offer extended trading hours, giving users access to the markets outside regular trading hours.<\/p>\n\n\n\n<p>Webull also allows you to trade from a Roth IRA account. You can also deposit cash to Webull with no minimum deposit requirement. Once you have deposited money into Webull, you are free to trade stocks commission-free with no minimum account balance.<\/p>\n\n\n\n<p>Conveniently, Webull has a Web version, a Desktop app that works on Windows, Mac, Linux, and a mobile app.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_owns_Webull\"><\/span><strong>Who owns Webull?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The company is owned by Fumi Technology, a Chinese holding company. It has attracted funding from top private equity investors in China, such as Xiaomi, Shunwei Capital, and other private equity investors.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_was_Webull_started\"><\/span><strong>How was Webull started?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Webull is based in New York City. It was launched in 2017 and was founded in 2016 by Wang Anquan, an alum of the Alibaba group.&nbsp;<\/p>\n\n\n\n<p>Anquan started his career in various technology roles, including Alibaba, before founding Webull. Webull was launched with a seed round of capital from Xiaomi and Shunwei Capital, a Chinese private equity fund focusing on early-stage consumer tech companies.<\/p>\n\n\n\n<p>In 2006, Anquan started working for Alibaba and served as technical director of Taobao&#8217;s loan division. He was the assistant to the president of Alibaba Financial from 2006 to 2012.<\/p>\n\n\n\n<p>He then joined as president of the Department of Online Financial Asset Transactions at HengFeng Bank in 2014. He joined Xiaomi as general manager of the finance division a year later.<\/p>\n\n\n\n<p>In 2016, Wang set up Webull&#8217;s parent company, Fumi Technology. Webull was then launched in 2017 with a seed round of capital from Xiaomi and Shunwei Capital, a Chinese private equity fund focusing on early-stage consumer tech companies.<\/p>\n\n\n\n<p>Webull is headquartered in New York City and has hired Anthony Denier, a wall street veteran, as the CEO of Webull. Denier has more than two decades of experience on wall street with a successful track record in finance and asset management.&nbsp;<\/p>\n\n\n\n<p>Webull&#8217;s focus is an easy-to-use platform with sophisticated technology that allows you to make intelligent investment decisions. Webull serves a new generation of fintech investors, and they believe that their focus on easy-to-use, high technology, and mobile applications is the key to their success.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Webull%E2%80%99s_growth\"><\/span><strong>Webull&#8217;s growth<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>At the time Webull started, Robinhood was one of its strongest competitors. Webull&#8217;s goal is to not only compete with Robinhood but become the leader of commission-free trading.<\/p>\n\n\n\n<p>Webull has been growing at a rapid pace since its launch in 2017. Webull aims to be transparent, secure, and compliant and has quickly grown into a popular platform with 2 million+ downloads and dedicated users.<\/p>\n\n\n\n<p>The financing from Xiaomi and Shunwei Capital has helped them scale the business in the North American market.<\/p>\n\n\n\n<p>Webull is also an easy platform to navigate, so if you are looking for in-depth analysis and a new mobile trading experience, this might be the right platform for you.<\/p>\n\n\n\n<p>It offers more than just stocks; it offers cryptocurrencies and news that will keep you on top of the market trends.<\/p>\n\n\n\n<p>Webull differentiates itself through its stellar customer service, going above and beyond when it comes to live customer support during US trading hours.<\/p>\n\n\n\n<p>Robinhood&#8217;s customer service is known to be less than adequate, functioning through email and taking 24 to 72 hours to respond, so this is a huge plus to Webull.<\/p>\n\n\n\n<p>Webull has marketed itself well through its features and influencer marketing campaign. The company has reached out to a group of successful influencers and YouTube stars, offering them exclusive commissions for sharing their platform with their audience.<\/p>\n\n\n\n<p>They also offer a free stock for signing up with their platform and investing a certain amount of money.<\/p>\n\n\n\n<p>Retail investors love Webull&#8217;s easy-to-use platform and customer service. Webull appeals to the millennial generation with their investor-friendly features, low fees, and customer service, where they are available during trading hours to help you set up your account.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" loading=\"lazy\" width=\"1024\" height=\"737\" src=\"https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/Webulls-Statistics-1024x737.jpg\" alt=\"The Webull Business Model: How does Webull make money\" class=\"wp-image-14158\" srcset=\"https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/Webulls-Statistics-1024x737.jpg 1024w, https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/Webulls-Statistics-300x216.jpg 300w, https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/Webulls-Statistics-768x553.jpg 768w, https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/Webulls-Statistics-24x17.jpg 24w, https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/Webulls-Statistics-36x26.jpg 36w, https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/Webulls-Statistics-48x35.jpg 48w, https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/Webulls-Statistics.jpg 1112w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Webull%E2%80%99s_Statistics\"><\/span><strong>Webull&#8217;s Statistics<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>Webull&#8217;s funding:<\/strong> Webull has raised a total of $206 million in 5 funding rounds. The company raised $150 million in its latest funding round in February 2021, led by Gopher Asset Management. Investors in Webull include Xiaomi, Shunwei Capital Management, Divine Capital, Mobai Capital, and other investors.&nbsp;<\/p>\n\n\n\n<p><strong>Webull&#8217;s valuation:<\/strong> Webull has a valuation of $1 billion.<\/p>\n\n\n\n<p><strong>Webull&#8217;s users:<\/strong> Webull has more than 2 million downloads and users.<\/p>\n\n\n\n<p><strong>Webull&#8217;s employees<\/strong>: Webull has more than 150 employees.<\/p>\n\n\n\n<p><strong>Webull&#8217;s competitors<\/strong>: Webull&#8217;s main competitor is Robinhood, but they also face competition from E*Trade, TD Ameritrade and Charles Schwab.<\/p>\n\n\n\n<p><strong>Webull&#8217;s revenue:<\/strong> Webull is not a publicly-traded company, so they don&#8217;t have to make their revenue numbers public. The company is growing quickly with a $1 billion valuation, so we can assume they are profitable.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_does_Webull_make_money\"><\/span><strong>How does Webull make money?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Webull&#8217;s revenue streams include payments on order flow, margin fees, interest on cash holdings, subscription fees for premium services and investment products, short-seller fees, and other fees.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Payments_on_order_flow\"><\/span><strong>Payments on order flow<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Webull directs your order flow to particular market makers that provide the best price for your transaction when you place a buy or sell order. These are high-frequency trading firms that make money on the bid-ask spread.<\/p>\n\n\n\n<p>A bid is the highest price that someone is willing to pay for an asset, and the ask is the lowest price that someone will sell at. The spread between the bid and ask is the payment that market makers make for providing this service.<\/p>\n\n\n\n<p>These payments from market makers when they execute your orders are called payments on order flow. Webull earns a fraction of a cent when it directs your order to a market maker for every trade. Although this may seem little, it can add up with a high volume of transactions. The more volume that Webull handles, the higher fees they can charge market makers for order flow and the closer they get to profitability.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Margin_fees\"><\/span><strong>Margin fees<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Webull can lend you money to buy the stock when you don&#8217;t have the cash in your account. Webull allows you to borrow money so you can trade more than you might be able to afford per stock or cryptocurrency position; this is known as margin trading. They charge a small fee for doing so.<\/p>\n\n\n\n<p>For example, if you had $1,000 in your account and wanted to borrow another $1,000 from Webull to buy a stock that costs $2,000 total, they would charge you a margin fee of around 3.99%. If you use this strategy frequently, you should be aware of these fees.<\/p>\n\n\n\n<p>Margin interest is how most commission-free trading platforms make money and is very effective for them because it does not directly affect the client until they place an order, so many investors do not even notice that there is a charge associated with these transactions.<\/p>\n\n\n\n<p>When investors use margin the way it is intended, they are simply borrowing money to trade more stock than they can afford. However, if investors use margin incorrectly, they can see their loss grow significantly because of the additional interest they have to pay for the loan.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Interest_on_cash_holdings\"><\/span><strong>Interest on cash holdings<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Investors who have a brokerage account generally have cash sitting in it. This creates a pool of money that the brokerage company can lend to other investors. Some brokerages will pay interest on these accounts to attract investors rather than have investors place their money into a savings account. Webull will pool this cash and invest it. The longer you keep money in your account, the more Webull can make off that idle cash.<\/p>\n\n\n\n<p>Some brokers may pay you interest on your cash holdings. However, the downside is they may charge you commissions and fees to trade.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Short_selling_fees\"><\/span><strong>Short selling fees<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>If you short a stock, it means you&#8217;re borrowing shares to sell with the hopes that they will go down in value so you can repurchase them at a lower price and return them to their owner. Webull charges a small fee for short selling.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Other_fees\"><\/span><strong>Other fees<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Webull charges other miscellaneous trading-related fees. If you&#8217;re transferring funds out of your Webull account, there&#8217;s a $75 fee for that. This transfer fee is charged by APEX, the company that provides merchant transfer services to Webull.<\/p>\n\n\n\n<p>Although Webull doesn&#8217;t charge you for incoming transfers, you have to pay the broker from which you&#8217;re transferring money. This fee differs depending on the broker.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Subscription_fees_for_premium_services_and_investment_products\"><\/span><strong>Subscription fees for premium services and investment products<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Webull offers paid subscriptions to traders who wish to get access to global market data. Data for US markets is free, but a monthly subscription fee is required to access data from outside the United States.<\/p>\n\n\n\n<p>Subscription fees are also required to access more granular market data, margin trading, and premium charting tools.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Final_Thoughts\"><\/span><strong>Final Thoughts<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Webull is an excellent investment platform that offers investors the opportunity to trade commission-free, which is beneficial for those looking to build a long-term portfolio.&nbsp;<\/p>\n\n\n\n<p>Even though you&#8217;re still responsible for some fees, Webull makes up for this by not charging commissions on stock transactions. This gives their platform an edge over other trading apps that charge a commission.<\/p>\n\n\n\n<p>While there are no minimum balance requirements or account fees associated with Webull, they make money by selling your orders to market makers and lending you money for margin trading purposes.<\/p>\n\n\n\n<p>This may end up costing you more than expected if you&#8217;re not aware of all the ways they generate revenue. Market volatility and all other risks associated with securities trading and investing may still apply.<\/p>\n\n\n\n<p>Keep this in mind before choosing Webull as your trading platform. Investing is risky, and the value of your portfolio can go up or down, so always do your due diligence before investing. We hope this article has given you some insights about Webull and how does Webull make money.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions\"><\/span><strong>Frequently Asked Questions<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<div id=\"rank-math-faq\" class=\"rank-math-block\">\n<div class=\"rank-math-list \">\n<div id=\"faq-question-1636467358267\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"1_Is_Webull_safe\"><\/span><strong>1. Is Webull safe?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Webull is an established financial company. The firm has been in the online trading business since 2017, so they are considered a reliable source of information for investors looking to get involved with the stock market.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467374036\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"2_Is_Webull_legit\"><\/span>2. <strong>Is Webull legit?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Yes, Webull is absolutely legal. Webull is based out of New York and is registered with the Securities and Exchange Commission (SEC), is a member of the Securities Investor Protection Corporation (SIPC) and the Financial Industry Regulatory Authority (FINRA). Webull must adhere to strict rules and regulations governing all financial companies in America.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467397427\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"3_Does_Webull_sell_data\"><\/span>3. <strong>Does Webull sell data?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No, Webull doesn&#8217;t sell any data to third parties. Webull only provides the data that is available via its website and mobile apps for free.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467425209\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"4_Does_Webull_offer_customer_support\"><\/span>4. <strong>Does Webull offer customer support?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Yes, Webull offers stellar customer support. They offer a variety of ways to get in touch with them, including a phone number and an email address where you can contact a representative directly.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467505877\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"5_Does_Webull_charge_commissions\"><\/span>5. <strong>Does Webull charge commissions?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No, Webull does not charge trading commissions.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467546996\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"6_What_products_can_I_trade_on_Webull\"><\/span>6. <strong>What products can I trade on Webull?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>You can currently buy and sell stock. You can trade ETFs, Cryptocurrencies, and also options there. In addition, you can get access to futures and commodities trading on the same platform.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467567862\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"7_Can_I_withdraw_money_from_my_Webull_account\"><\/span>7. <strong>Can I withdraw money from my Webull account?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Yes, you can withdraw your money from your Webull account by transferring it to a bank account or another brokerage account. You can also withdraw cash from your account by selling your stocks on the platform.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467588246\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"8_Is_Webull_a_scam\"><\/span>8. <strong>Is Webull a scam?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No, Webull is not a scam. They are an established financial company that has been in business since 2017.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467616775\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"9_Does_Webull_provide_market_news\"><\/span>9. <strong>Does Webull provide market news?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Yes, you can get access to breaking financial news via their website and mobile apps.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467633736\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"10_What_is_the_minimum_account_balance_for_Webull\"><\/span>10. <strong>What is the minimum account balance for Webull?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Webull has no minimum account balance requirement. You can start trading with as little as $1 on their platform.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467658289\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"11_How_much_does_it_cost_to_open_an_account_with_Webull\"><\/span>11. <strong>How much does it cost to open an account with Webull?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>It is completely free to open an account and start trading on the platform.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467678442\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"12_How_do_I_deposit_money_into_my_Webull_account\"><\/span>12. <strong>How do I deposit money into my Webull account?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>To deposit money into your Webull account, you can link it to your bank account or credit card. You can also use the cash balance in your account to purchase stocks on the platform.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467711327\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"13_Can_I_short_sell_on_Webull\"><\/span>13. <strong>Can I short sell on Webull?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Yes, you can short sell stock on Webull by placing an order to borrow shares and then sell them once the price goes down. Keep in mind that this can backfire if the price of the stock goes up instead of down.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1636467725903\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><span class=\"ez-toc-section\" id=\"14_How_do_I_create_an_account_on_Webull\"><\/span>14. <strong>How do I create an account on Webull?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>It is straightforward to create an account on Webull. You then need to provide your full name, email address, and password, after which you will then be required to upload a copy of an ID for verification purposes. Once your account is approved, you can deposit money into your account and start trading. Webull offers one free stock as a signup bonus, so be sure to take advantage of that while you&#8217;re signing up. Webull also offers free stocks for referring friends to the platform.<\/p>\n\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n\n\n<div class=\"wp-block-coblocks-alert has-background has-theme-palette-9-background-color\" aria-label=\"Alert section\"><p class=\"wp-block-coblocks-alert__text\"><strong>Other Business Models:<\/strong> <a href=\"https:\/\/bazaarexpert.com\/how-does-offerup-make-money\/\">OfferUp<\/a>,&#xA0;<a href=\"https:\/\/bazaarexpert.com\/how-does-honey-make-money\/\">Honey,<\/a>&#xA0;<a href=\"https:\/\/bazaarexpert.com\/how-does-venmo-make-money\/\">Venmo,<\/a>&#xA0;<a href=\"https:\/\/bazaarexpert.com\/how-does-doordash-make-money\/\" class=\"ek-link\">DoorDash<\/a>,&#xA0;<a href=\"https:\/\/bazaarexpert.com\/how-does-discord-make-money\/\" class=\"ek-link\">Discord<\/a>, <a href=\"https:\/\/bazaarexpert.com\/how-does-zelle-make-money\/\">Zelle<\/a>,&#xA0;<a href=\"https:\/\/bazaarexpert.com\/how-does-craigslist-make-money\/\">Craigslist<\/a>,&#xA0;<a href=\"https:\/\/bazaarexpert.com\/how-does-nerdwallet-make-money\/\">Nerdwallet<\/a><a href=\"https:\/\/bazaarexpert.com\/how-does-offerup-make-money\/\">,&#xA0;<\/a><a href=\"https:\/\/bazaarexpert.com\/how-does-afterpay-make-money\/\">Afterpay<\/a>,&#xA0;<a href=\"https:\/\/bazaarexpert.com\/how-does-zoom-make-money\/\">Zoom<\/a>, <a href=\"https:\/\/bazaarexpert.com\/how-does-hinge-make-money\/\" class=\"ek-link\">Hinge<\/a>, <a href=\"https:\/\/bazaarexpert.com\/how-does-bumble-make-money\/\" class=\"ek-link\">Bumble<\/a><\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Are you curious about how does Webull make money? In 2017, a little-known trading platform called Webull Financial LLC began to gain exposure for its products and services. Soon after, Webull gained popularity amongst retail investors and became one of the top-rated stock trading apps among online brokers garnering over 2 million downloads.&nbsp; Webull is&#8230;<\/p>\n","protected":false},"author":1,"featured_media":14164,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"qubely_global_settings":"","qubely_interactions":"","_editorskit_title_hidden":false,"_editorskit_reading_time":9,"_editorskit_is_block_options_detached":false,"_editorskit_block_options_position":"{}","_coblocks_attr":"","_coblocks_dimensions":"","_coblocks_responsive_height":"","_coblocks_accordion_ie_support":"","_mo_disable_npp":"","_mi_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false},"categories":[56],"tags":[],"qubely_featured_image_url":{"full":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money.png",1200,800,false],"landscape":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money.png",1125,750,false],"portraits":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money.png",480,320,false],"thumbnail":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money-150x150.png",150,150,true],"medium":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money-300x200.png",300,200,true],"medium_large":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money-768x512.png",768,512,true],"large":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money-1024x683.png",1024,683,true],"1536x1536":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money.png",1200,800,false],"2048x2048":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money.png",1200,800,false],"qubely_landscape":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money.png",1125,750,false],"qubely_portrait":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money.png",480,320,false],"qubely_thumbnail":["https:\/\/bazaarexpert.com\/wp-content\/uploads\/2021\/11\/How-does-Webull-make-money.png",140,93,false]},"qubely_author":{"display_name":"bazaarexpert","author_link":"https:\/\/bazaarexpert.com\/author\/bazaarexpert\/"},"qubely_comment":0,"qubely_category":"<a href=\"https:\/\/bazaarexpert.com\/business\/business-models\/\" rel=\"category tag\">Business Models<\/a>","qubely_excerpt":"Are you curious about how does Webull make money? In 2017, a little-known trading platform called Webull Financial LLC began to gain exposure for its products and services. Soon after, Webull gained popularity amongst retail investors and became one of the top-rated stock trading apps among online brokers garnering over 2 million downloads.&nbsp; Webull is...","_links":{"self":[{"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/posts\/14150"}],"collection":[{"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/comments?post=14150"}],"version-history":[{"count":11,"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/posts\/14150\/revisions"}],"predecessor-version":[{"id":15224,"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/posts\/14150\/revisions\/15224"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/media\/14164"}],"wp:attachment":[{"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/media?parent=14150"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/categories?post=14150"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bazaarexpert.com\/wp-json\/wp\/v2\/tags?post=14150"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}