How to Buy and Sell Crypto on Robinhood
Yes, you can trade crypto on Robinhood, but only certain coins
Robinhood lets you buy and sell cryptocurrency directly through its app, but the selection is limited compared to dedicated crypto exchanges. You can trade Bitcoin, Ethereum, Dogecoin, and about 15 other coins depending on your state. The trades settle instantly, and you can hold the coins in your Robinhood account or transfer them out to a wallet you control — though transfer fees apply.
The main trade-off is simplicity versus choice. Robinhood's crypto trading is designed for people who already use the app for stocks and want to add crypto without switching platforms. If you want access to hundreds of coins or advanced trading tools, you would need a separate crypto exchange account.
Key Takeaways
- Robinhood offers crypto trading for Bitcoin, Ethereum, Dogecoin, and roughly 15 other coins, with the exact list varying by state.
- You can buy crypto with cash in your Robinhood account and sell it back to cash instantly, with no minimum purchase amount.
- Transferring crypto out of Robinhood to your own wallet costs a flat fee per coin type, currently $1 to $2 depending on the coin.
- Robinhood does not offer margin trading, options, or staking rewards on crypto holdings.
- Your crypto is held in custody by Robinhood, not in a self-hosted wallet, which means Robinhood controls the private keys.
Which cryptocurrencies you can actually trade
Robinhood's crypto list includes the major coins: Bitcoin (BTC), Ethereum (ETH), Dogecoin (DOGE), Litecoin (LTC), Bitcoin Cash (BCH), and Ethereum Classic (ETC). Beyond those, the platform offers Cardano (ADA), Solana (SOL), Polygon (MATIC), Chainlink (LINK), Uniswap (UNI), Aave (AAVE), Compound (COMP), Curve (CRV), and a few others.
The exact coins available to you depend on your state. Some states have stricter cryptocurrency regulations, so Robinhood may not offer the full list there. You can see which coins are available in your state by opening the Robinhood app and navigating to the Crypto tab — if a coin does not appear, it is not available to you.
Robinhood does not offer altcoins, meme coins beyond Dogecoin, or newer tokens. If you want to trade coins not on Robinhood's list, you would need to use a dedicated exchange like Coinbase, Kraken, or Binance.
How to buy and sell crypto on Robinhood
To buy crypto, open the Robinhood app, tap the Crypto tab, and search for the coin you want. Tap the coin name, then tap "Buy." Enter the dollar amount you want to spend — there is no minimum — and confirm the order. The transaction settles instantly, and the crypto appears in your account right away.
To sell, tap the coin you own, tap "Sell," enter the amount you want to sell, and confirm. The sale settles instantly and the cash goes back into your Robinhood cash balance. You can then withdraw that cash to your linked bank account, which typically takes one to three business days.
Robinhood charges no trading fees for buying or selling crypto. The only cost is the spread — the difference between the price Robinhood shows you and the actual market price. The spread varies by coin and market conditions but is usually between 0.5% and 2% on major coins like Bitcoin and Ethereum.
Transferring crypto out of Robinhood
You can move your crypto out of Robinhood to a wallet you control, such as a hardware wallet or another exchange. To do this, tap the coin you own, tap the menu icon, and select "Transfer Out." Robinhood will ask for the wallet address where you want the crypto sent.
Each transfer costs a flat fee: Bitcoin costs $1, Ethereum costs $1, Dogecoin costs $1, and other coins range from $1 to $2. The transfer typically completes within 30 minutes to a few hours, depending on network congestion. Once the crypto leaves Robinhood, you control it completely and Robinhood has no access to it.
You cannot transfer crypto into Robinhood from an external wallet. Robinhood only lets you buy crypto with cash or sell it back to cash.
What Robinhood crypto does not offer
Robinhood does not support margin trading, options, or leverage on crypto. You can only buy crypto with cash you have in your account. This is different from stocks, where Robinhood offers margin accounts — crypto trading is cash-only.
Robinhood also does not offer staking, lending, or other ways to earn yield on your crypto holdings. If you want to stake Ethereum or earn interest on your coins, you would need to move them to a platform like Coinbase, Kraken, or a dedicated staking service.
Advanced traders will notice Robinhood lacks limit orders, stop-loss orders, and other order types. You can only place market orders — buy or sell at the current price immediately. If you need more control over your trades, a dedicated exchange is a better fit.
How Robinhood holds your crypto
When you buy crypto on Robinhood, the company holds it in custody for you. This means Robinhood controls the private keys to your coins, not you. You own the crypto, but you cannot access it directly — you can only buy, sell, or transfer it through Robinhood's app.
This custody model is simpler and safer for beginners because you do not have to manage private keys or worry about losing access to your wallet. The downside is that if Robinhood goes down or restricts your account, you cannot move your crypto until the issue is resolved. Robinhood is a registered broker-dealer and is regulated by the SEC and FINRA, which provides some protection, but your crypto is not covered by FDIC insurance.
If you want full control of your crypto, you can transfer it out to a self-hosted wallet like MetaMask, Ledger, or Trezor. Once it is in your own wallet, only you can access it — but you are also fully responsible for keeping your private keys safe.
Robinhood crypto versus dedicated exchanges
Robinhood is convenient if you already use the app for stocks and want to add crypto without switching platforms. The interface is simple, there are no trading fees, and you can buy or sell in seconds. It is a good choice for beginners or people who want to hold a few major coins long-term.
A dedicated crypto exchange like Coinbase, Kraken, or Binance gives you access to hundreds of coins, advanced order types, staking, and lower transfer fees. These platforms are better if you want to trade actively, experiment with altcoins, or earn yield on your holdings. The trade-off is a steeper learning curve and more complex interfaces.
Some people use both: Robinhood for simple buying and holding of Bitcoin and Ethereum, and a dedicated exchange for everything else. This approach lets you keep your core holdings simple while exploring other coins if you want to.
Frequently Asked Questions
Do I pay taxes on crypto I buy and sell on Robinhood?
Yes. Every time you sell crypto for a profit, that is a taxable event. Robinhood sends you a tax form (Form 8949) at the end of the year with all your trades. You report these gains on your tax return. Even if you transfer crypto out of Robinhood, you still owe taxes on any gains. Keep records of your purchase price and sale price for each trade.
Can I use Robinhood to buy crypto if I live outside the United States?
No. Robinhood only serves U.S. residents and some U.S. territories. If you live outside the U.S., you would need to use a different exchange like Coinbase, Kraken, or Binance, which operate internationally.
What happens to my crypto if Robinhood shuts down?
Robinhood is unlikely to shut down — it is a large, regulated broker-dealer. If it did, your crypto would be protected because Robinhood holds it in segregated accounts. You would be able to recover your coins, though the process might take time. Your crypto is not insured by the FDIC, but it is held separately from Robinhood's own assets.
Can I set up automatic purchases of crypto on Robinhood?
No. Robinhood does not offer recurring or automatic crypto purchases. You have to manually buy each time. Some dedicated exchanges like Coinbase and Kraken offer automatic purchases, which can be useful for dollar-cost averaging.
Is it cheaper to buy crypto on Robinhood or a dedicated exchange?
Robinhood charges no trading fees, but it makes money on the spread — the gap between buy and sell prices. Dedicated exchanges often have lower spreads on large trades but may charge trading fees. For small purchases, Robinhood is usually cheaper. For large or frequent trades, a dedicated exchange may be better.