If you’re thinking about dipping your toes into the world of cryptocurrencies, you have several options. It’s important to note that before we go any further on this topic that I am not providing advice on buying or selling any crypto. Cryptocurrencies are volatile assets and you should always do your own research and only risk what you are willing to lose.
Now, that we’ve gotten the obligatory disclaimer of my status as someone who cannot predict the future out of the way, let’s get into the various ways to invest in or trade Bitcoin and other cryptocurrencies. If you have a Robinhood account, it’s very easy to trade crypto. You don’t have to sign up for access to crypto trading so if you trade stocks on Robinhood, you already have access to several cryptos including Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic, Litecoin, and Dogecoin. When you buy a cryptocurrencies on a platform like Robinhood, you don’t actually own the coins you are buying, meaning you can’t send them to another wallet or use them for real-world purchases. Many people will scream that no one should ever trade crypto if you can’t access your coins, but there are some instances when it’s perfectly fine to use Robinhood or Webull to buy and sell Bitcoin and other cryptos.
If you want to acquire a particular cryptocurrency to use as a form of payment or to earn interest or buy NFTs, then using Robinhood or Webull is not the way to go. In those scenarios, you need to have the ability to move your cryptocurrencies between wallets (more on that later). But, if what you are trying to do is buy and sell to make a profit, then it is absolutely fine to use the Robinhood app to buy and sell crypto! Don’t listen to what every self-declared crypto genius on Twitter is saying.
The Robinhood app supports Dogecoin (DOGE), Bitcoin SV (BSV), Bitcoin Cash (BCH), Bitcoin (BTC), Litecoin (LTC), Ethereum Classic (ETC), and Ethereum (ETH). To search for any of these cryptos in Robinhood, tap the magnifying glass icon on the bottom of your screen. Type Crypto into the search bar if you don’t automatically see an option for crypto pop up when you get to the search screen.
Once you’ve selected a cryptocurrency you want to buy, you will see the asset’s chart and current market price. Tap Buy and then enter the order details. Once you’ve purchased crypto, you’ll see it on your main screen when you open the Robinhood app.
You are quite limited in a few ways if you’re using Robinhood for crypto, but that doesn’t mean the platform can’t be used to learn about crypto trading. If you’re looking for something similar to Robinhood that offers some different cryptocurrencies, you might want to try Webull. As of July 2021, they offer Bitcoin, Dogecoin, Ethereum, Cardano, Litecoin, Bitcoin Cash, Ethereum Classic, Dash, XLM, and ZEC. In addition to being able to trade these specific cryptos, Webull lets you see data and charts for others that aren’t (yet) tradable on the platform. Click here to sign up for WeBull and you’ll earn free stocks for opening an account.
Want to Earn Bitcoin Risk-Free?
If you’re curious about Bitcoin but don’t want to enter into such a volatile asset with your hard-earned money, there are a few ways to earn Bitcoin without ever having to buy any. One easy option is to download an app called Lolli. This is a rewards app that pays you in Bitcoin for shopping online at various retailers. What I like most about the app is the Daily Loot Box. You can earn free Satoshis (the smallest unit of Bitcoin) everyday just by opening the Loot Box. If you use this link to download Lolli, you get a bonus $5 when you make any purchase through the app. The app will allow you to transfer your earned bitcoin to another wallet- a feature that is absent from Robinhood and Webull’s crypto trading. Of course, you have to have another wallet to send it to, but it’s a good start for those those thinking about getting into Bitcoin without the risk.
Should You Invest in Crypto with Robinhood? Whether you should invest in crypto on Robinhood really comes down to how and why you want to engage with cryptocurrency. If you want to buy better-known cryptos like Bitcoin and Ethereum via an easy-to-use platform at low costs, Robinhood may make sense to you.
We hold the majority of your coins in cold storage, entirely disconnected from the internet. This gives you an additional layer of protection. We also carry crime insurance that protects a portion of the assets held across our storage systems against losses from theft, including cybersecurity breaches.
The answer to the question of which cryptocurrency is better in the choice between Bitcoin vs. Ethereum, it depends entirely on your requirements. While Bitcoin works better as a peer-to-peer transaction system, Ethereum works well when you need to create and build distributed applications and smart contracts.
Robinhood Crypto is licensed to engage in Virtual Currency Business Activity by the New York State Department of Financial Services. Cryptocurrencies offered by Robinhood Crypto are not securities and your cryptocurrency investments are not subject to FDIC or SIPC protections.
The Robinhood Wallet app is a self-custody wallet that's your portal to web3 where you can store and manage your crypto on the Ethereum, Bitcoin, Dogecoin, Arbitrum, Polygon, Optimism, and Base networks. Robinhood Wallet gives you full control over your crypto, which means you hold the private keys to your assets.
All withdrawals from Robinhood are processed within 10 to 30 minutes. However, it may take longer, depending on your bank and/or the desired cryptocurrency. Robinhood crypto transfer time usually takes up to 24 hours. For beginners, there are some problems that can occur when withdrawing crypto from Robinhood.
If you want to secure your own crypto and have your own private keys, you can send your coins to an external self-custody wallet, like Robinhood Wallet.
There are two main ways to make money on Robinhood: Buy and sell stocks or other assets at a higher price than you bought them for. This is known as capital gains. Earn dividends on stocks you own.
In the past year, Bitcoin prices are up 157% compared to a 100% gain for Ether. If you look back over the past five years, Bitcoin prices have risen about 740%, while Ether prices are up about 1,330%.
Bitcoin is less volatile and has a first-mover advantage, while Ethereum has growth potential and upcoming upgrades. Both are strong investments, and diversifying between the two may be a good strategy based on your investment goals and risk tolerance.
Coinbase is the better choice if you're looking for a crypto-first, beginner-friendly platform that offers a diverse selection of cryptocurrencies! Robinhood is the better choice if you're looking for a user-friendly platform that can help you manage your stocks and cryptocurrencies in one place!
Robinhood Financial LLC and Robinhood Securities, LLC are both members of SIPC, which protects securities for customers of its members up to $500,000 (including $250,000 for claims for cash) for each investing account, including IRAs.
Crypto prices are volatile. To help protect your market orders against dramatic price moves, we adjust market orders to limit orders collared up to 1% for buy orders, and 5% for sell orders. Robinhood doesn't charge commission fees.
You can send crypto from Robinhood Wallet to any address or exchange that supports Ethereum, Bitcoin, Dogecoin, Arbitrum, Polygon, Optimism or Base transfers. Make sure you transfer crypto over the same network. For example, only send crypto on Polygon to another wallet or exchange that supports Polygon.
This option could be labelled "Transfer to External Wallet" or something similar on Robinhood. You will have to supply your Coinbase wallet address to begin the transfer. Go to your Coinbase account and find the crypto wallet address corresponding to the cryptocurrency you are planning to transfer.
Robinhood has much to gain from its acquisition of Bitstamp. Bitstamp holds more than 50 active licenses and registrations to operate as a crypto exchange across a number of countries and will greatly expand Robinhood's crypto footprint.
Introduction: My name is Chrissy Homenick, I am a tender, funny, determined, tender, glorious, fancy, enthusiastic person who loves writing and wants to share my knowledge and understanding with you.
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