Robinhood to Roll Out Crypto Wallets to 1,000 Users

Online broker Robinhood Markets has announced that it will start to offer crypto wallets to 1,000 of its users, allowing them to trade, send, and receive cryptocurrencies using the company’s app.

The company said it had launched a beta test of its crypto wallet and has plans to expand the program to 10,000 customers by March, before rolling out to the rest of the WenWallets.

The beta testers are drawn from a waitlist of over 1 million individuals. They will have a daily withdrawal limit of $2,999 and will be limited to 10 transactions in a day.

According to an Investopedia report, as part of the rollout, Robinhood plans to test new crypto-related functionality on its app, including finalizing the send and receive flows for wallets, introducing QR scanning to simplify the flow, and adding explorer functionality that provides critical statistics and transaction information related to various crypto blockchains at a glance.

“Beta testers will help us test core functionality and provide critical feedback to inform the final version of the product,” Vlad Tenev, chief executive officer at Robinhood, stated in a post on the company’s website.

Robinhood itself nearly doubled the number of accounts on its platform and reported record revenues due to “huge interest in crypto,” according to CEO Tenev.

According to BrokerChooser, an international broker comparison site, the number of account openings at brokerages dropped by 73% on average during the third quarter of 2021 as compared to the year’s peak first quarter. Robinhood had 88% fewer account openings in the third quarter of 2021, said Adam Nasli, head analyst at the site.

“As crypto wallets are really important for customers and most U.S. brokers don’t provide it, this move [of offering crypto wallet functionality to users] can have positive impacts on account openings at Robinhood,” Nasli said.4

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.