HomeCryptoRobinhood to Plan Testing Cryptocurrency Wallets, Speeding up Crypto Territory Escalation

Robinhood to Plan Testing Cryptocurrency Wallets, Speeding up Crypto Territory Escalation

Robinhood Markets has introduced that it plans to begin testing cryptocurrency wallets subsequent month, with a broader rollout in early 2022 to permits its clients to transfer supported crypto belongings out and in of their brokerage accounts.

On September 22, the brand new public brokerage agency has said that it plans to start surveying its present crypto buying and selling clients within the subsequent few weeks, who represent about 60% of the app’s 21.3 million lively customers and choose a small group of respondents to begin testing the brand new wallets and supply suggestions.

Robinhood’s crypto lead Christine Brown talked concerning the growth. She mentioned that the agency would take the alpha customers’ suggestions and handle it publicly by way of its weblog and social media account on Twitter. Brown additionally said that individuals on the ready record will start getting entry to wallets by the top of 2021 and that Robinhood’s cryptocurrency wallets will usually be obtainable in early 2022.

The Menlo Park-based retail brokerage agency permits holding, shopping for, and promoting crypto belongings at current, like Bitcoin, Ethereum, and Dogecoin. Last quarter, Robinhood witnessed cryptocurrency transactions exceeded equities transactions for the primary time.

RobinHood clients, who benefited from a growth in retail buying and selling throughout the pandemic, have lengthy requested for cryptocurrency wallets. Some neighborhood members really feel that purchasing and promoting cryptocurrencies on Robinhood doesn’t allow them to personal crypto. For instance, clients of Robinhood at present can’t use their Bitcoin holdings within the app to purchase an NFT and can’t use the Robinhood app to purchase shares with Bitcoin. 

The so-called cryptocurrency pockets will permit clients to obtain, commerce, and spend digital currencies, in addition to transfer them out and in of the Robinhood app. Furthermore, the crypto pockets will allow clients to purchase shares, digital belongings like non-fungible tokens (NFTs), and different merchandise utilizing cryptocurrencies and switch or spend their crypto cash with out changing them into one other fiat foreign money first.

Brown said that the pockets will initially solely assist holding the Robinhood Crypto’s cash, overlaying main cash like Bitcoin, Ethereum, and Dogecoin.  Furthermore, Robinhood is planning to increase the currencies obtainable on its platform sooner or later.

Companies Earn Millions in Revenue from Crypto

Last month, Robinhood Markets introduced that cryptocurrency accounted for greater than half of all transaction-based- based mostly gross sales within the second quarter and disclosed that 62% of cryptocurrency income got here from dogecoin, a meme-inspired digital coin.

The firm said that its income from cryptocurrency transactions within the second quarter was $233 million. It accounted for 52% of transaction-based income, up from $5 million within the second quarter of final yr and a rise from 17% within the first quarter this yr.

While Robinhood has gained reputation by providing free inventory buying and selling to a brand new era of buyers, the agency has additionally been a giant beneficiary of the surge within the cryptocurrency market. Robinhood app permits clients to promote and purchase seven cryptocurrencies, together with Bitcoin, Ethereum, Dogecoin, Litecoin, and Bitcoin Cash.

Coinbase, which went public earlier this yr, Square’s Cash App, and PayPal are additionally different well-liked companies utilized by US shoppers to promote and purchase cryptocurrencies.

Image supply: Shutterstock

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