Robinhood, the rapidly expanding trading app, has added new features to its cryptocurrency trading platform as well as multiple new coins.
Announced in their previous application update, Robinhood will now support trading for Litecoin and Bitcoin Cash, in addition to the already supported cryptos, which include Bitcoin and Ethereum. In addition to adding support for more digital currencies, Robinhood also announced their plans to add support for coin transfers to external wallets, which confirms the rumors that they are building an in-app wallet. Currently, the platform allows users to buy and sell cryptocurrencies, but they cannot transfer, deposit, or withdraw currencies.
Robinhood has been facing tremendous success over the duration of its existence, with the company just announcing the onboarding of its five millionth user. Its rapidly growing user base has propelled its valuation to exceed $5.6 billion in May following the conclusion of its $363 million funding round.
Currently, the cryptocurrency trading platform is only available to users in 17 states, but Robinhood is working to add more states in the near future. The crypto trading platform is also in early access as of now, so more features will likely come once the platform further develops.
Robinhood is the first place where users can keep all their investments in one place, including stocks, ETFs and cryptocurrencies. The practicality of this will likely introduce more traditional investors who use Robinhood’s platform to the prospect of investing in cryptocurrencies.
In order to securely store cryptocurrencies, Robinhood uses a mixture of hot and cold storage for purchased coins, which in addition to cutting-edge security measures makes for a secure platform for cryptocurrency investors.
Robinhood also addresses the issue of brokerage regulation on their website, saying:
“Robinhood Crypto is registered with FinCEN as a money services business. As such, Robinhood Crypto is subject to the requirements of the Bank Secrecy Act as well as the money transmitter laws of most U.S. States.”
As more states approve cryptocurrency regulations, the platform will be expanded.