Startup Robinhood Withdraws Its Application to Become a Bank

Robinhood Markets Inc. is pulling its application for a banking charter just months after starting the process, underscoring the challenges for startups trying to take on the highly regulated world of finance.

The application, filed with the Office of the Comptroller of the Currency, would have allowed the no-fee stock trading company to offer banking products by itself. Right now, Robinhood would need to enter into partnerships with other banks to provide services like debit cards. A company spokesman said it has no plans to resubmit its application.