Wednesday, 22 September 2021 04:48

Robinhood Is Testing A New Crypto Wallet To Allow Crypto Withdrawals

Trading app Robinhood is testing new features, including a crypto wallet and cryptocurrency transfers. According to the company, the ability to deposit and withdraw cryptocurrencies is difficult in large scale, and they want to make sure it’s done correctly and properly.

Robinhood has made massive growth this year, mainly thanks to increased interest in Dogecoin. The trading platform recently revealed that crypto trading made up 52% of its revenue for the second quarter of the year, of which Dogecoin was 62%. And that number is expected to grow as Robinhood’s focus falls on crypto. This is why the most recent feature that Robinhood is testing is very important to the company.

One of the major reasons investors have with investing in the trading app is the inability to transfer out their crypto holdings. This essentially means that investors are betting on the price of the crypto they are investing in rather than investing in the coins themselves. If Robinhood rolls out its latest wallet feature, it could eliminate this problem completely for its users.

Robinhood is looking for a solution, and is “quietly” testing several new features, Bloomberg reported Monday, describing: “Robinhood Markets Inc. is testing new crypto wallet and cryptocurrency transfer features for its app.”

Some of the new features have appeared in a beta version of Robinhood’s iPhone app, the Bloomberg noted, adding that the planned offerings were discovered by software developer Steve Moser.

Robinhood CEO Vlad Tenev previously said that adding a crypto wallet is a priority for the company’s developers but did not indicate when the launch would be. He said on the company’s second-quarter earnings call: “It’s something that our teams are working on. The ability to deposit and withdraw cryptocurrencies is tricky to do with scale, and we want to make sure it’s done correctly and properly.”

Tenev said that these features are particularly in demand among dogecoin (DOGE) enthusiasts.

In its second-quarter earnings report, the company revealed that of the 52% revenue that crypto trading brought in, Dogecoin trading had made up 62% of the total volume. The total revenue from crypto trading was $233 for the quarter. And with Dogecoin bringing in 62%, the digital asset Brough in $144 million in revenue for the trading platform. Making this its highest-selling offering.

The new crypto features are being tested as part of an “alpha program,” information within the code of the Robinhood app shows. The publication further noted that the code also revealed the company’s plans for “spare change investing and an early-deposit option for checking accounts.”


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