[2018-01-30] Over 1 Million People for Early Access to Robinhood’s trading app

[davey76]

Millennials can’t get enough of crypto it appears. When US trading brokerage Robinhood announced that it was venturing into the crypto space social media erupted with enthusiasm. Those eager to embark on a journey into crypto land will have to get in line, over a million users have already signed up for early access to the new crypto app.

According to reports Robinhood has been inundated with interest in its latest offering. It has only been four days since the company announced that it was going to offer commission-free crypto trading. Yet the queue is growing longer by the minute.  If all those new sign-ups become Robinhood cryptocurrency customers, it will mark an increase of over 30% percent to the company’s overall user base of more than 3 million.

More: http://bitcoinist.com/1-million-people-queue-early-access-robinhoods-crypto-trading-app/

That's great news! Lot's of new crypto buyers will give the market an upswing!

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[DooMAD]

Personally, I'm not a fan of commission-free trading, crypto or otherwise.  I believe it generally leads to artificial volume and price manipulation.  There's nothing to prevent algorithmic High-Frequency-Trading to "target" a predetermined price and attempt to move the market in that direction my making hundreds or even thousands of trades in a short space of time.  It's not the same thing as genuine price discovery in a natural market.  I can't, in all good conscience, agree with this being "great news".  This just looks like another time-bomb waiting to detonate.  I'll be steering well clear.

[1Referee]

Personally, I'm not a fan of commission-free trading, crypto or otherwise.  I believe it generally leads to artificial volume and price manipulation.  There's nothing to prevent algorithmic High-Frequency-Trading to "target" a predetermined price and attempt to move the market in that direction my making hundreds or even thousands of trades in a short space of time.  It's not the same thing as genuine price discovery in a natural market.  I can't, in all good conscience, agree with this being "great news".  This just looks like another time-bomb waiting to detonate.  I'll be steering well clear.

Professional capital won't ever flow into something that only allows itself to be used through an app with very basic trading features. If you want to unlock more features, you have to upgrade to the Gold plan they offer as premium service. Another thing that has to be pointed out, is that crypto trading will (for now) only be available in just a few states within USA. I also read that Robinhood uses unused user balances to generate interest on the financial market as some sort of a passive income stream. It's something you'll have to dig a bit deeper into in order to find out, because Robinhood itself doesn't seem to find it necessary to mention it. Their obvious main incentive is to grow, but also to compete with Coinbase - very interested to see how Robinhood manages to grow in the forthcoming years. It won't ever be the Coinbase killer some people on social media refer to.

[Kprawn]

Personally, I'm not a fan of commission-free trading, crypto or otherwise.  I believe it generally leads to artificial volume and price manipulation.  There's nothing to prevent algorithmic High-Frequency-Trading to "target" a predetermined price and attempt to move the market in that direction my making hundreds or even thousands of trades in a short space of time.  It's not the same thing as genuine price discovery in a natural market.  I can't, in all good conscience, agree with this being "great news".  This just looks like another time-bomb waiting to detonate.  I'll be steering well clear.

Well this was what happened in the Asian markets and then the government jumped in to regulate these markets and the

price took a nose-dive. {Still remember that?} ...I have to agree with you, I do not know if this is such great news for us.

The other thing is, this is also not accessible in all states in the USA, so it might not have such a huge impact, with 1000s

of people only buying very small quantity of coins. 

[richardsNY]

It won't ever be the Coinbase killer some people on social media refer to.

That's indeed a ridiculous claim. Robinhood stated that if Coinbase can grow out to be the largest player in this market with high fees, Robinhood according to itself would have much less of a problem gaining ground in this market with zero cost trading, to become a major player. The main problem with this is that I find it a bit risky to see them dive into crypto land without any prior experience. Zero fee trading, even when it's not available everywhere now, is a powerful marketing tool that will help them attract a lot people. The important thing they do have on their side, is that they are properly licensed, which can't be said about a large number of crypto exchanges....

[davey76]

But is the zero trading fee not just a marketing strategy? They might start with fees after gaining some momentum.

[bitcoinisbest]

But is the zero trading fee not just a marketing strategy? They might start with fees after gaining some momentum.

This is bound to happen because they would like to have a good number of users during the initial stages. Once they have few million users and if trading volumes starts to pick up certainly they will start implementing the trading fee. It can be either just on maker or on both buyers/seller etc according to their strategy . But at present being free enjoy the most of it,.

[chiggz]

Really a forward and a game changing move from the Robinhood. More users who have been skeptical about Crypto trading will surely try it now as there is no need to be to some shady exchanges. This means more money coming into the Cryptoland. Hope this has gives a bull run and a huge step for Bitcoin to become mainstream.

[cynical]

Personally, I'm not a fan of commission-free trading, crypto or otherwise.  I believe it generally leads to artificial volume and price manipulation.  There's nothing to prevent algorithmic High-Frequency-Trading to "target" a predetermined price and attempt to move the market in that direction my making hundreds or even thousands of trades in a short space of time.  It's not the same thing as genuine price discovery in a natural market.  I can't, in all good conscience, agree with this being "great news".  This just looks like another time-bomb waiting to detonate.  I'll be steering well clear.

I thought that this commission free trading announcement was a great move and something that would put pressure on other exchanges
but DooMAD has enlightened me, it make sense.
It really comes down to marketing as richardsNY pointed out,
There is indeed a positive in that it should attract more crypto users and investors.