Digital TransformationProof of ConceptRobinhood Releases Crypto Wallet For 2M Users
Milestone Date: April 7, 2022
During the Bitcoin 2022 conference in Miami, Robinhood’s Chief Product Officer Aparna Chennapragada announced that the company has enabled its crypto wallet for 2 million "eligible" customers, effectively opening up possibilities for digital asset transfers within the app.
Furthermore, Aparna mentioned that Robinhood will incorporate support for Bitcoin transactions on the Lightning Network, a layer 2 Bitcoin settlement technology. Aparna also stated, "for the larger community this is a fantastic way" to access Bitcoin affordably and in an environmentally friendly manner. She also noted that Bitcoin is the most frequently recurring purchase on the app.
The crypto wallet does come with its limitations, however. Unlike MetaMask, it lacks compatibility with Ethereum-based services. It cannot support ERC-20 tokens, non-fungible tokens (NFTs), or any assets beyond Robinhood's trading list. Additionally, tokens resulting from airdrops and forks are also not supported. Staking is also unavailable for now.
In addition, users are required to undergo an identity verification process and activate two-factor authentication to gain access to the wallet.
Robinhood first teased the crypto wallet in September 2021. Around 10 million Robinhood users swapped coins last year, and the crypto trading functionality has earned the company millions in new revenue.
By Elizabeth Morrison
Published:April 7, 2022