Robinhood Launches Robinhood Connect For Decentralized Applications And Self-Custody Wallets

A popular commission-free trading app, Robinhood, recently launched a fiat-to-crypto on-ramp for self-custody wallets and decentralized applications (DApps). The move of the firm aims to allow users easily purchase cryptocurrencies directly through its app and move them to their digital wallets or use them in DApps.

This new feature is a significant addition to Robinhood’s existing offerings, which previously allowed users to buy and sell cryptocurrencies within the app. By launching a fiat-to-crypto on-ramp, Robinhood is expanding its reach and offering users more options to interact with the cryptocurrency market.

Robinhood Introduces Fiat-To-Crypto On-Ramp

According to the company’s report on April 27, the new feature, Robinhood Connect, will allow users to transfer funds between their self-custody wallet and Robinhood Crypto seamlessly. Users can perform this action using a debit or credit card. They can then use those funds to invest in a broad range of cryptocurrencies on the Robinhood Crypto platform.

The feature currently supports three ecosystems: Giddy, Slingshot, and MyDoge. Robinhood also stated that it plans to add more ecosystems, with Phantom and Exodus already in sight. This will be in line with the demands of customers.

One of the notable features of Robinhood Connect is its ability to interact with applications, given its integration with Web3 projects. With this feature, customers can natively use DApps to access the fiat-to-crypto on-ramp’s credentials. As such, they don’t have to launch the company’s website or app to perform transactions or log in to their accounts.

Robinhood Crypto’s general manager, Johann Kerbrat, noted that this service’s main objective is to see more people engage in crypto matters. Kerbrat believes that Web3 and digital assets have what it takes to change the narratives of the financial system.

 But he also recognizes that notable hurdles still delay the broader adoption of these virtual tokens, which is the essence of the latest development.

Key Advantages Of The Robinhood Connect

Based on the announcement, a key benefit of the new on-ramp is that it allows users to move their cryptocurrency holdings to their wallets or use them in DApps. This contrasts with other centralized exchanges, which typically require users to keep their cryptocurrencies within the exchange’s wallet.

Secondly, by enabling self-custody, Robinhood gives users more control over their cryptocurrency holdings, a key feature, and advantage to many crypto enthusiasts. 

Self-custody also allows users to participate in decentralized finance (DeFi) and other DApps, which are becoming increasingly popular in the crypto world.

Notable Improvements In Robinhood Crypto App

To complement the new fiat-to-crypto on-ramp service, Robinhood Crypto also noted that it made many improvements in its customers’ in-app experience. They include:

Advanced charts

The company stated that the advanced charts had been one of the most sort-after features of its crypto users. Users can improve their trading strategy with the new charts and monitor technical indicators, such as RSI, MA, EMA, VWAP, Bollinger bands, and MACD. These indicators are instrumental in helping traders identify exit and entry positions.

Improved crypto home tab

Robinhood Crypto has also improved its app design by including a new crypto tab on its homepage. This is a way of telling its 25 million customers that it’s interested in their in-app experience. The new feature will enable them to organize their portfolios seamlessly as they navigate the company.

Advanced order types

Users also requested that the company improve the order feature. With the latest order types, users can place stop limits and stop orders – an additional improvement to their trading strategy.

The Learn and Earn feature

The Learn and Earn feature is an in-app program that exposes customers to the value and major technology behind cryptocurrencies. This feature helps to boost the customers’ trust, especially when purchasing and trading virtual assets.

With the advanced Learn and Earn feature, students can receive crypto rewards for finishing educational tasks like quizzes and video lessons. Further, the firm noted that after the launch of the modules toward the end of 2022, approximately 1 million customers have engaged in them.

Price alerts

Robinhood Crypto also announced that it had improved its app’s price alert function. Users can now follow up on their trades by building personalized pricing alerts that match their trading patterns.

Notably, the launch of Robinhood’s fiat-to-crypto on-ramp for self-custody wallets and DApps is a significant development in the crypto world. This is evident in its ability to provide users with more options to participate in the market. Users can now interact with DApps and control their cryptocurrency holdings.