Robinhood Cryptocurrency? Here Is All You Need To Know

Recently, there has been a rise of investors showing undiluted interest in Robinhood cryptocurrency, as it’s becoming evident that the future lies in cryptocurrency. 

Many digital payments platforms (PayPal, Venmo) have made cryptocurrency trading easier, as it’s much more possible to buy and trade cryptocurrency within the platform.

In this article, you will get to learn all you need to know about Robinhood cryptocurrency. 

Mainstreaming Cryptocurrency

Robinhood Crypto

There are various apps out there, which you can make use of to trade cryptocurrency. Apps like PayPal, Venmo, etc., make buying and selling super easy. 

Many people prefer using this platform because the risk involved will be reduced. 

Nevertheless, one truth remains the same, which is the risk and volatility of cryptocurrency trading will always remain high.

Even experts confirm cryptocurrency trading can be a daunting task. 

Apps like Robinhood make it easier for you to trade cryptocurrencies such as Bitcoin, Etherium, dogecoin within the platform.

What’re Cryptocurrencies

Cryptocurrencies are digital assets. Cryptocurrencies are an alternative way of storing your funds in a digital wallet. 

The use of cryptocurrency has become so universal because people are already transitioning, from the use of physical money to the use of digital currencies.

One thing that makes cryptocurrencies unique, and that one thing is the value of cryptocurrency skyrocketing day by day. 

Bitcoin became launched at a value less than $10, and as of the moment, its value is above $30,000.

What’s Robinhood Cryptocurrency? 

Robinhood offers cryptocurrencies such as Bitcoin, Etherium, and Dogecoin, which makes it easy for people to trade within the Platform. 

As a starter or even as a pro trader, it’s way easier for you to learn cryptocurrency trading with Robinhood. 

You can buy cryptocurrency, sell and exchange it for cash on Robinhood, which is safer rather than peer-to-peer trading.

The absence of fees for using Robinhood has made it so favorable for many.

Note: If you are not a US citizen, you won’t be able to access or use the Robinhood platform.

How Does Robinhood Work?  

Change is one thing that will always be constant in life. The way people do things changes over time, so it is when it comes to investment. 

Uber was able to change how people board taxis, under innovation, so is Robinhood. 

Robinhood is a trading platform and has been able to change how people invest by making it, a lot more accessible in the following ways

  • The $1000 required to open a brokerage account is no longer necessary
  • There are no charges that need to be paid for your transactions 
  • $225 will be credited to your account for opening an account with Robinhood. 

All these are part of the fantastic reason why you will want to choose Robinhood as your number one investment, and the platform has been able to cap over 10m users in 2020. 

Why Choose Robinhood

You might wonder why you should choose Robinhood among other brokerage apps out there or what makes Robinhood so unique among others.

Before Robinhood joined the league of brokerage apps, you had to pay $1000 to have a brokerage account. Nevertheless, ever since the existence of Robinhood, there has been nothing like that anymore.

Furthermore, anyone in the United States can invest via the app in US stocks and cryptocurrencies.

How Can You Open A Robinhood Account? 

When you open a Robinhood account, you will be given $1000 in free stock. 

I will give you a step-by-step guide on how to open a Robinhood account.

One fantastic thing is that it’s super easy to open a Robinhood account, all that is needed is your name, email, bank routing number, and you are good to go. But which way to start? 

All you have to do is to go to Robinhood.com, and your necessary info, which is required, and you are now an account owner on Robinhood. 

Once you open a new account, you will have $5-$500 stock, and once you invite people, you will be credited. This means, the more friends and members you invite to start using the app, the more your fund’s Increase.

NB: Once you open an account, you have to deposit up to $10 in your account before you are able to claim your benefits. 

Is Robinhood Safe To Use? 

Yes! 

Robinhood is a member of SIPC, which makes your funds up to $500,000 to be secured. 

The app is well protected, and ever since it has emerged, there haven’t been any fraud allegations laid against the platform. This is an assurance that whatever you do on the platform should give you the rest of your mind.

And also, there are a plethora of regulations that guide Robinhood to make the platform a secured platform for all users.

More About Robinhood 

Robinhood is regulated by the Securities and Exchange Commission (SEC) since it’s a security brokerage firm. 

Marketing To New Investors 

Just as I’ve mentioned above, Robinhood doesn’t charge $1000 for you to open a brokerage account, and you can as well open an account on Robinhood with just $10; this has created enmity between the platform and other platforms, and the platform, is being accused of posing threats to inexperienced Investors. 

Nevertheless, as an investor, who wants to make the most of your investing career, you need to use Robinhood. 

Also, Robinhood is greatly recommended for new Investors, who don’t have a large sum of money for investment, as they can buy one or two shares on the apps with little funds, and you as well receive a monetary bonus when you invite friends to start investing on the app. 

Robinhood is mobile-optimized, which has made the platform greatly loved, as more people are more familiar with the use of mobile apps than web pages. 

Just at the comfort of your home, you can buy a share of an Apple store with the tiny amount you have or any of your favorite companies, and you have no fear of losing your funds because Robinhood has everything in place to make sure your funds remain secure.

Robinhood App And Features. 

Robinhood Crypto Launches In Eight More States — Under the Hood

Nothing makes the app more fun for you than when you trade on the platform, and this is one reason why Robinhood likes it when you trade on the app. 

Virtual confetti will be thrown at you as a way of celebration when you trade on the app.

In addition, there will be push notifications, when you subscribe to it, of each update that goes on within the platform, such as a change in stock or if there is any update as regards the platform. 

And lastly, bear in mind that you will have to run into a lot of trial and error before you get acquainted with how to use the platform.

Moral: If you have zero knowledge about investment. Don’t start with big money; start little until you have all the knowledge required about investment.

And this is because Robinhood does not provide much education 

how to go about investment on the platform; nevertheless with adequate trials and learning from your mistakes, you will be able to learn all you need to on the platform.

Controversy 

Yes, just as mentioned above, Robinhood is a good Platform for now and pro Investors. 

Nevertheless, the platform has failed in maintaining smooth sailing, which is one thing expected of any brokerage platform.

Robinhood once announced launching a check and savings account back in the days.

Nevertheless, as it’s expected, FDIC should protect the check and savings account, but they did not, and this scared many investors away, and the controversy ended. 

However, the implication will always be there, as anything that concerns a regulatory body is expected always to remain certain. 

How will you feel if you wake up one day and discover all the thousands of dollars kept in your bank account are gone? Crazy right? 

However, Robinhood accepted that they were wrong and tendered an apology on their blog. 

However, even since then, the platform has promised a more outstanding service by working with the regulatory body to make sure everyone’s funds are safe; nevertheless, there has never been a doubt that the platform is a legit one. 

Right from the start of this article, I’ve been reiterating that this platform is a free platform, where you do not have to pay any money to have an account with the Platform. 

This might trigger you to ask about how the platform makes money. I will walk you through all you need to know about how the platform makes money. 

How Does Robinhood Make No Money 

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Yes, Robinhood does not charge a registration fee, so how exactly does the platform make no money? 

The platform makes money via other alternative means.

And what are they? 

Other ways by which the platform makes money include premium account, rebates, lending, interest. 

Nevertheless, there have been many bad reviews from users about this platform for not paying interest on cash. 

What Are The Type Of Stock You Can Buy On Your Robinhood Account 

Did you open a Robinhood account, and do you need ideas on the type of stock you can buy for investment? 

I’ve got you covered in this article. As a starter, you don’t need to follow any advice about the type of stock, which you should invest in. 

You are to follow the advice of professionals who have been in this field for a long and have mastered everything involved.

You can read this review, for a comprehensive review, on the best type of stock, which is worth investing in. 

Is There Any Risks Associated With Trading On Robinhood 

Just like all other brokerage platforms out there, such as Etrade, TD Ameritrade, Schwab, or any other US bank, all have potential risks associated with trading on their platforms. 

And the primary thing I have discovered that usually causes this is people not knowing how to invest. 

If you don’t know how to invest, you will end up running into significant losses. For this purpose, you need to arm yourself with adequate knowledge about how to trade on the Platform. 

If all this is well in place on your side, Robinhood has all features to make your funds secure. 

Many of the errors that occur and result in users losing money are often from users’ end, as a result of not having enough knowledge about how to make a suitable investment.

Final Thought

Robinhood Crypto Launches In Eight More States — Under the Hood

 

Robinhood is one of the best brokerage platforms, which are confirmed to be legit and trustworthy. 

I have taken our time to explain to you all I know about this app, and I hope you do find this helpful. 

Are there more questions, which you will like to ask as regards this platform? Do let me know in the comment box, and I will be glad to attend to you.

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