You've probably heard about Robinhood since you started dabbling in the crypto world. You may have even used it or thought about creating a Robinhood account.
As long as you're into crypto trading, whether we're talking about play-to-earn crypto game tokens, stablecoins, or altcoins, you should know what Robinhood is and how you can transfer cryptocurrency from this platform to any cryptocurrency exchange-based wallets. Get your pen and paper ready. We're about to learn something new!
What is Robinhood?
Robinhood is an online discount brokerage that provides a commission-free investing and trading platform. Investors use it to buy and sell stocks, exchange-traded funds (ETFs), options, and American depositary receipts, through the web- and mobile-based financial services platform.
Additionally, it allows users to buy specific cryptocurrencies. Since Robinhood is one of the most well-known brokerages in the world, many people decide to trade cryptocurrency on it.
Can You Transfer Crypto from Robinhood?
To avoid any restrictions Robinhood can put on cryptocurrencies, many people prefer to transfer their crypto assets from their Robinhood crypto account to another crypto wallet.
Before, users couldn't transfer or receive cryptocurrency using their Robinhood accounts. However, this has been changed, allowing users to make crypto transfers to and from their accounts.
You should know beforehand that in order to transfer cryptocurrency with Robinhood, you will need to enable two-factor authentication and confirm your identity (using a government-issued photo ID or a live photo of yourself).
The Robinhood crypto wallet
Last year, the platform launched the Robinhood crypto wallet. This self-custody wallet is an entry point to Web3, where you can exchange cryptocurrencies on Polygon with no network fees.
The new Robinhood crypto wallet allows complete control over one's crypto assets on the Polygon and Ethereum networks, allowing them to own and maintain the private key to their assets.
How to transfer crypto from Robinhood
If you want to access Robinhood's crypto wallet, the first thing you have to do is sign up for the app. Robinhood Crypto, as the new crypto wallet is called, offers members access to easy crypto transactions and transfers of a particular cryptocurrency. All you have to do is type in the address of the wallet you want to send your cryptocurrency to.
Before you transfer crypto, make sure you have a Coinbase account or whatever wallet address you're sending the funds to. If you already have an account, you'll have to open that app and deposit the crypto with the wallet address listed in the account.
If you don't use the crypto wallet provided by the Robinhood platform, you will be required to liquidate your assets and then repurchase them with the other cryptocurrency exchange ( like the Coinbase app, for example).
Set up Robinhood Crypto wallets
Before you make your first crypto transaction, let's make sure you've set up your Robinhood app wallet correctly:
- Select a cryptocurrency from the list on the Robinhood app's home page.
- Scroll down past the chart and look for the Send button.
- Go through all the information presented until you get to the Get started page and click the button.
- After reading the warning on keeping your crypto secure, click the "I acknowledge" button.
- Confirm your identity using a passport, driver's license, or other photo ID issued by the government.
- Set up two-factor authentication by verifying your phone number and email and installing an authenticator app.
Selling Robinhood assets
Since you can't transfer crypto directly, you must first sell the cryptocurrency you wish to transfer. You can sell all or just a portion of your cryptocurrency. Depending on whether you are using the platform's browser version or the mobile version, the next steps are as follows.
- Choose the crypto you want to sell.
- Select Trade.
- Click on Sell.
- Enter the amount in cryptocurrency that you want to sell.
- Click on Review. Verify if the info is correct.
- To submit your request, swipe up.
- Choose the crypto you want to sell. Go to its details page.
- Find the options window and click Sell.
- Enter the amount you want to sell.
- Click on Review and verify the info.
- Submit the sell order.
After the withdrawal, it will take a few days before you can transfer the money to the new account.
Transferring Funds to a Bank Account
The next step is to transfer all of your money into the bank account that you linked to your Robinhood account. Again, the steps differ slightly depending if you're using the web or mobile version.
- Tap on your Account in the lower right corner of the screen.
- Select Transfer to Your Bank under Transfers.
- Choose the bank account for the transfer.
- Enter the amount.
- Click Submit.
- Click Account in the upper right-hand corner.
- Tap on Banking.
- There's a panel on the right side. Use it to start the bank transfer from Robinhood.
Transferring Funds to a New Bank Account
If instead of sending Bitcoin or other cryptos to an external wallet or your Coinbase account, for example, you are thinking of sending the money to a new bank account, you should know the transfer process will be extended pending verification.
Here are the steps you should follow to complete the process:
- Tap your Account in the bottom right corner of the screen.
- Click on Transfers.
- Click Linked Accounts.
- Add New Account.
- Pick the bank you want to transfer to.
- Enter the password and login details.
- Select the account you want to connect to Robinhood.
To sum it up
You must be relieved that you can send and receive funds outside the platform and that the process is not so complicated. Remember, each transaction may incur some fees!
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