A recent article published by CNN just explained how Robinhood, the investing app that offers commission-free trading to users, is incorporating cryptocurrency into its regular trades. Baiju Bhatt, one of the founders of Robinhood, said that the interest and demand for cryptocurrency among the public is only growing. While people were only curious about bitcoin in years past, there is more of a mainstream acceptance now of cryptocurrency as a legitimate option.
For now, Robinhood users will only be able to invest and follow bitcoin and ethereum, two of the most popular forms of cryptocurrency right now. Robinhood is planning to expand to offering more than 16 cryptocurrency options in the near future. Although bitcoin has recently doubled its shares and sparked interest among more mainstream investors, it still has a relatively short lifespan against which to judge its stability and potential for growth.
Robinhood sees the opportunity to offer cryptocurrency as an investment to its users as a positive step in bringing overall growth to the global economy. One of the core values of Robinhood is making investing available to everyone, not just the wealthy. Its recent foray into cryptocurrency falls in line with its mission statement and is likely to only lead to more companies following suit.
Cryptocurrency has been around since about 2010, which means that there is sufficient history that investors need not be overly spooked about it being a new phenomenon. Mining for cryptocurrency is a relatively new concept that pioneers at Robinhood have been exploring for some time before discussing how to seriously bring it to the average investor. The technology being developed to mine for cryptocurrency will help to revolutionize the way that business is transacted across the world and will hopefully lower transaction costs for converting currency and sending payments to various recipients.
So far, Millennials show the most interest as an investor group in buying into cryptocurrency. Males also outnumber females in terms of their willingness to invest in cryptocurrency online. Trading is only being offered in about five states right now through Robinhood’s app. When the demand for cryptocurrency increases and the platform works out all of the bugs with mining it on a grand scale, it is very likely that this offering will be available in all states. It remains to be seen how financial and legal regulations will come into play with keeping costs low for investing in cryptocurrency.