If you’ve been looking for a way to trade cryptocurrency and missed out on the Bitcoin boom, then you’ll be happy to know that Robinhood is adding crypto trading to their platform. The best part? It comes with no fees! Let me explain how this works.
The Robinhood app allows investors to trade cryptocurrency alongside more traditional investment offerings.
The Robinhood app allows investors to trade cryptocurrency alongside more traditional investment offerings. You can use the app to buy and sell bitcoin and ether, which are the two most popular cryptocurrencies.
There are no minimums or maximums for most investments, and the app is free to use. The app is available for both Android and iOS devices. It’s very easy to use, and offers several features that make it stand out.
Robinhood started as a fee-free stock brokerage and recently expanded into the world of digital currencies.
Robinhood offers 24/7, commission-free trading on cryptocurrencies—meaning that no matter what time of day or night it is, you can buy and sell cryptocurrencies without paying fees to Robinhood.
Cryptocurrencies can be purchased or sold round-the-clock, in contrast to stocks, which are typically only traded through a central exchange and during regular trading hours.
Although Robinhood has said it is trying to be available in all states, the cryptocurrency trading platform isn’t yet operating in many places due to regulatory concerns.
You can trade cryptocurrencies through Robinhood app
Since its launch, Robinhood has added multiple coins to the platform. Today, investors can trade 15+ cryptocurrencies, including Bitcoin, Ethereum, Bitcoin SV, DogeCoin, and Cardano.
The Robinhood app features a cryptocurrency interface.
Robinhood Financial and Robinhood Crypto are two separate entities. This means that if you own both stocks and cryptos on Robinhood, they are kept in separate accounts.
This is a great benefit because it allows you to manage all of your financial assets in one place. If you want to trade cryptocurrencies, then you can simply enter the dollar amount you are interested in buying into the search bar, click “Buy,” and enter the cryptocurrency you’d like to purchase.
On Robinhood Crypto, customers can access their entire deposit immediately.
To improve your trading experience, Robinhood has shortened the time it takes for funds to settle. This means that you no longer have to wait 3-5 business days for your cash—you can now trade right away.
Currently, Robinhood Crypto supports market and limit orders.
Limit and market orders are similar to the standard types of transactions used in trading stocks.
Limit Orders
Limit orders can protect you from paying too much when the price of your cryptocurrency suddenly rises.
When you place a limit order to buy, your account will only trigger the purchase if the price falls to or below a specified amount. This protects you from paying too much when you put in an immediate market order and prices suddenly rise before your trade is executed.
Market Orders
A market order is an instruction to your broker that you want to buy or sell a security at the best available price.
For the safety of investors, Robinhood places a collar on market orders for crypto. This guarantees that you pay no more than a certain price and no less than another—ensuring your investment doesn’t go down in value due to dramatic swings in its processing.
Selling your coins
Selling your coins within the app and withdrawing your funds is simple and works just like it does with stocks or ETFs.
Transferring your coins
Robinhood has announced the launch of a new feature: cryptocurrency wallet. The simple and secure app allows users to transfer coins with ease and gives them control over their assets.
The app has a number of security features, including multi-factor authentication and identity verification (such as email or phone verification).
Robinhood Crypto is a sleek platform
Robinhood Crypto comes with a variety of benefits. First, it offers no trading fees for either stocks or cryptocurrencies. This alone makes the platform an attractive option for first-time crypto buyers who do not want to pay high fees for each transaction.
Another major benefit of using Robinhood Crypto is that it has a sleek interface and easy-to-use features. You can easily sign up for the platform with just your mobile phone number and email address.
The downside? Although Robinhood is available in all but four states, that still leaves a lot of people who are unable to participate. Robinhood also offers a wide range of cryptocurrencies, but because the platform only gives users access to the most well-known ones, experimentation is constrained.