Robinhood Crypto Trading

[rippar]

Any new exchange will always be good for crypto, especially one that already has an established user base and offers zero fees. It will be interesting however to see if they are one of those exchanges that claims to offer zero fees but that's because they make up all of their profit by offering very low exchange rates.

It wasn't exactly detailed how they would be making money from crypto. They make it work with stocks by selling order flow to exchanges and using idle money for investment

Now Robinhood advertise activly its exchance in order to make huge amounts of people use its services, luring 0% comission. And then their admins will gradually increase comissions, but it is only to my thinking.

[1713405105]

1713405105

[withche.07]

This is going to be very big game changer for crypto markets. February will see great bull run. I think if this could be global free free trading it would be uber awesome advertisement for cryptocurrencies.

[timet678]

Almost a million people on the waitlist. Definitely going to be good thing for adoption when it goes live. I do wonder how many of those on the waitlist are actually in the initial 5 states it is launch in though.

[Holy Dank]

It is definitely good news, I got into trading stocks on robinhood before I got into cryptocurrencies.
Hopefully this will help the mainstream get into crypto even faster.

[Pivo]

The popular US based stock trading app, Robinhood, is planning to launch a fee-free crypto trading platform in February of this year for a select few states in the US and will expand to other states over time. I believe they are only offering BTC and ETH at this time. This could be a real game changer in the crypto world for people in the US once Robinhood gets this going.

Here is a link to get on the waitlist https://crypto.robinhood.com/

Consider signing up through my referral (dm me) or someone else you know so that you can get a free share of a stock worth $5 to $190

If not using a referral link for free stock then the main website homepage is here https://www.robinhood.com/


*Reminder* This is US only. You must be a US citizen to create an account with Robinhood. Also as a side note this is NOT anything like a crypto exchange in the traditional sense many of you are used to. This is a US based stock trading brokerage that is expanding into the crypto world after being established for 5 years as a company in the United States. They are worth 1.3 billion dollars here in the US and have millions of users. If you were to use any type of crypto comparison to them the only ones that even come close are Coinbase and Gemini.

Is Robinhood an altruist? Where they found money for transaction fees? Or that is trick? So many questions...

[Hazeey]

Any new exchange will always be good for crypto, especially one that already has an established user base and offers zero fees. It will be interesting however to see if they are one of those exchanges that claims to offer zero fees but that's because they make up all of their profit by offering very low exchange rates.

It wasn't exactly detailed how they would be making money from crypto. They make it work with stocks by selling order flow to exchanges and using idle money for investment

Now Robinhood advertise activly its exchance in order to make huge amounts of people use its services, luring 0% comission. And then their admins will gradually increase comissions, but it is only to my thinking.

They've actually had commission free stock trading for the past 5 years have have never wavered on their business model even as the company has grown to be worth over 1.3 billion dollars today. I don't see them ever adding commissions, but I think they'll add in more premium services and higher margin rates over time in order to increase their income.

[Hazeey]

The popular US based stock trading app, Robinhood, is planning to launch a fee-free crypto trading platform in February of this year for a select few states in the US and will expand to other states over time. I believe they are only offering BTC and ETH at this time. This could be a real game changer in the crypto world for people in the US once Robinhood gets this going.

Here is a link to get on the waitlist https://crypto.robinhood.com/

Consider signing up through my referral (dm me) or someone else you know so that you can get a free share of a stock worth $5 to $190

If not using a referral link for free stock then the main website homepage is here https://www.robinhood.com/


*Reminder* This is US only. You must be a US citizen to create an account with Robinhood. Also as a side note this is NOT anything like a crypto exchange in the traditional sense many of you are used to. This is a US based stock trading brokerage that is expanding into the crypto world after being established for 5 years as a company in the United States. They are worth 1.3 billion dollars here in the US and have millions of users. If you were to use any type of crypto comparison to them the only ones that even come close are Coinbase and Gemini.

Is Robinhood an altruist? Where they found money for transaction fees? Or that is trick? So many questions...

They've made it work for their stock trading brokerage by selling order flow to exchanges, investing dormant money, and offering premium services that are pay-by-month like Robinhood Gold. I'd imagine they will continue you do these things with crypto and will eventually start adding more premium services and increase the margin rates for using their cash.

[Gaius Cryptus Tradius]

I always wondered how does their commission free stock trading work, do they just charge a higher spread?

[Pivo]

Guys,

Is it a coincidence that this is called Robinhood?

COBINHOOD is already doing all that you described above. Their COB token also gives some pretty nice bonuses, like period airdrop of new tokens.

Trading with zero-fee

https://bitcointalk.org/index.php?topic=2169745.0

https://cobinhood.com/

For whose money will the exchange exist? Who will pay for the equipment, ervers. It also requires high costs for sacurity and personnel. Most likely it's just a marketing move to attract new customers. But after a while a fee will be introduced and the exchange will turn into the usual one.

To address your concerns: COBINHOOD makes money from ICO's which it underwrites, and from margin trading (which has a little fee on it)

Cobinhood is actually a copy-cat of Robinhood not the other way around. Robinhood is huge in the US and has been around for a long time. It is federally insured and SEC compliant in the US meaning they can't just walk away with your money.

Cobinhood is shit in comparison to Robinhood, no offense

Good to know - thanks! I'll keep an eye on it.

Is that insurance only for US citizens, or does that insurance cover international users too?

Robinhood did not show how they create "no fees" bonus. Who paid for that trick?

[LeroyBro]

I always wondered how does their commission free stock trading work, do they just charge a higher spread?

Also interested.

Will definitely be looking at how this progresses.

[Hazeey]

I always wondered how does their commission free stock trading work, do they just charge a higher spread?

They sell order flow to exchanges, invest dormant money, and offer premium services like Robinhood Gold that give you faster settlement/deposit times as well as higher margin.

It isn't always possible to tell if you're getting a perfect fill on market orders due to the spreads changing so rapidly and Robinhood not offering live quotes. If I ever trade on Robinhood, I always have another account pulled up with a different broker where I can view live quotes. I also never use market orders

[Zahed.H]

can't wait for this to be rolled out in the UK, definitely need this as opposed to coinbase and their hefty fees!

[Minecache]

Great news. I hope this will positively affect the price of bitcoin. This addition to this platform will make bitcoin even more popular. And this is very good, because now bitcoin needs fresh money injections.

[Neo.op2]

This might not be as great news as every one thinks:

https://medium.com/@smith.garg/is-robinhood-crypto-really-going-to-be-zero-commission-523d22df97f4

[itsonlikedonkeykong]

This news does sound impressive. Are there really over 1,000,000 people waiting in the que?

DO you actually own your cryptos if you use this app?

[housebtc]

This is crazy the number of people lining up to get registered on this exchange, good to have more exchanges open their arms to new users but the most important thing is to protect investors fund which most of them seems not to know how to do

[Hazeey]

This might not be as great news as every one thinks:

https://medium.com/@smith.garg/is-robinhood-crypto-really-going-to-be-zero-commission-523d22df97f4

This is just a random person's opinion on the topic, but it's always good to hear different opinions from your own. I decided to read through the article and basically the guy concluded that Robinhood will likely the the BEST place to buy crypto from in the near future. His article just touched on some points for why it could hurt rookie traders that just use market orders and he questioned if they would be able to handle the influx of new users for crypto. He did fail to mention that it is only rolling out in 5 states to begin with so there wont be nearly as high of a number of signups as it says on the waitlist page until it is rolled out to more states in the US.

[Hazeey]

This news does sound impressive. Are there really over 1,000,000 people waiting in the que?

DO you actually own your cryptos if you use this app?

Yes, the waitlist stopped counting at 1 million signups.

Also yes, this will basically be a US only version of Coinbase without any fees to buy and sell crypto. In the beginning only ETH and BTC will be available to buy and sell though

[Neo.op2]

This might not be as great news as every one thinks:

https://medium.com/@smith.garg/is-robinhood-crypto-really-going-to-be-zero-commission-523d22df97f4

This is just a random person's opinion on the topic, but it's always good to hear different opinions from your own. I decided to read through the article and basically the guy concluded that Robinhood will likely the the BEST place to buy crypto from in the near future. His article just touched on some points for why it could hurt rookie traders that just use market orders and he questioned if they would be able to handle the influx of new users for crypto. He did fail to mention that it is only rolling out in 5 states to begin with so there wont be nearly as high of a number of signups as it says on the waitlist page until it is rolled out to more states in the US.

It seems our conclusions are quite different. There is lot of information but maybe not explained very well.

For one, Robinhood's apparent use of the word "market order" is confusing even for a non-rookie. I personally have never seen people saying market orders but actually it was a limit order. What are other exchanges/markets which does this?

Second, Robinhood not having it's own exchange market is worrying because they have to rely on latency between their platform and the connecting exchanges. So only limit orders which are far out/in the money will work well. If the  market is moving too fast this is a recipe for disaster.
On the same topic, if the exchanges are down, something which happens quite frequently, Robinhood is going to be out of commission too. So the reliability is also questionable.

[Hazeey]

This might not be as great news as every one thinks:

https://medium.com/@smith.garg/is-robinhood-crypto-really-going-to-be-zero-commission-523d22df97f4

This is just a random person's opinion on the topic, but it's always good to hear different opinions from your own. I decided to read through the article and basically the guy concluded that Robinhood will likely the the BEST place to buy crypto from in the near future. His article just touched on some points for why it could hurt rookie traders that just use market orders and he questioned if they would be able to handle the influx of new users for crypto. He did fail to mention that it is only rolling out in 5 states to begin with so there wont be nearly as high of a number of signups as it says on the waitlist page until it is rolled out to more states in the US.

It seems our conclusions are quite different. There is lot of information but maybe not explained very well.

For one, Robinhood's apparent use of the word "market order" is confusing even for a non-rookie. I personally have never seen people saying market orders but actually it was a limit order. What are other exchanges/markets which does this?

Second, Robinhood not having it's own exchange market is worrying because they have to rely on latency between their platform and the connecting exchanges. So only limit orders which are far out/in the money will work well. If the  market is moving too fast this is a recipe for disaster.
On the same topic, if the exchanges are down, something which happens quite frequently, Robinhood is going to be out of commission too. So the reliability is also questionable.

"I dare say it might be even the best platform for cryptocurrency, provided trade execution between Robinhood and cryptocurrency exchange is good."

Direct quote from the article. I understand the concerns he brings up but we can't be negative about it before the crypto market even opens. The only legitimate concern is Robinhood not having its own exchange market. Who will they use? How will they respond when these exchanges are down? Those are some very important questions that Robinhood will need to answer.

For your "market order" question, a market order is when you just set a "buy" at whatever the current price of the crypto is. This could potentially be a disaster to newer investors that don't realize crypto can swing 5-10% in seconds so they could get a very bad fill on their market order. However, no one should ever use a market order in any market. You should always set a limit order to get filled at the price you want to get filled at and not what the current market rate gives you.