Robinhood Markets (HOOD), a big trading platform, has begun testing a beta version of its long-awaited crypto wallet, allowing 1,000 selected users to transfer and receive assets from external wallets. The blockchain integration is a watershed moment for the company.
Robinhood’s stock has plummeted, and the cryptocurrency market accounts for a sizable portion of the company’s revenue. The success of the wallet is a critical stage in their growth because it might bring in a large number of new users.
A Much-anticipated Crypto Wallet
Robinhood launched the second phase of their bitcoin Wallets initiative, beginning with 1,000 selected customers from a big queue of 1.6 million users who have been waiting for the option.
“This is the second key milestone in our Wallets rollout, which will enable Robinhood clients to transfer and receive cryptocurrency from Robinhood to external cryptocurrency wallets for the first time, and will fully integrate Robinhood crypto holders to the larger blockchain ecosystem.”
This is a key feature for Robinhood’s investors because it eliminates the inability to transfer their crypto assets. Until now, digital currency such as Bitcoin, Ethereum, and Dogecoin could not be withdrawn or privately kept on the site.
Following the debut, Robinhood’s Cryptocurrency COO Christine Brown tweeted:
“Throughout the Beta programme, we will aim to finalise the send and receive flows, as well as add delightful QR scanning experiences, better transaction history, and block explorer functionality so you can see your transactions on-chain— and more!”
The beta testers will also assist the company in “test fundamental functionality and provide essential feedback to guide the final version of the product,” according to the company.
According to Robinhood, users will be able to compute the cash worth of the digital token they intend to transfer or receive. In addition, the testers “will have a daily limit of $2999 in total withdrawals and ten transactions, and will be required to enable two-factor authentication.”
According to Bitcoinist, the company claims to be working on offering a right and proper feature because “the ability to deposit and withdraw cryptocurrency is tough to achieve with scale.”
Dogecoin Backs Robinhood
Robinhood was once best known for stock and options trading, but in the second quarter of 2021, cryptocurrency-related activity accounted for 51% of company revenue. Dogecoin (DOGE), a popular meme-coin, accounted for 40% of the company’s cryptocurrency transaction-based revenue.
Robinhood’s stock has dropped 78 percent to $14 per share from its all-time high. However, digital coin holdings on the platform have grown substantially faster than traditional stock assets.
Many traders like DOGE and have long requested a wallet to restrict their trading. This opens up a plethora of opportunities for interaction with blockchain ecosystems.
“It is a tremendous project to connect millions of Robinhood clients to the blockchain ecosystem in a safe, accessible setting.” We take this duty seriously, which is why we’re releasing wallets in a methodical manner in accordance with our “Safety First” value.”
