The popular sock trading platform, Robinhood, has announced that they are launching an app that will allow users to buy certain cryptocurrencies. At least to start with, they will be allowing customers to buy Bitcoin and Ethereum, but the selection will likely go up from there. This puts them in direct competition with CoinBase, which is very popular but often has a lot of issues due to their inability to keep up with demand.
CoinBase also has significant fees involved, which can quickly eat away at the average investor’s money. Robinhood’s new system won’t have any fees associated with buying crypto other than those that are imposed by the exchanges or the network. This can save users a lot of money over time, and make it much easier to start buying small amounts of crypto on a regular basis.
The system is available as a ‘monitoring’ tool only at this point, but in February it will open up for live trading. Another limitation at launch is that it is only available to residents of California, Massachusetts, Missouri, Montana and New Hampshire. This is where Robinhood is licensed, but they are working to expand the service to other states, and hopefully globally, as quickly as possible.
This is just one more example of how the crypto investing industry is quickly catching on, and becoming much more mainstream.