Robinhood, the popular consumer trading and investment app catering to younger generations, is making significant strides in its international expansion. Following its recent entry into the U.K., the company has announced the launch of its crypto app for all eligible users in the European Union (EU).
While the UK rollout focuses on brokerage services, the EU expansion includes the introduction of Robinhood’s crypto app, providing EU customers access to a diverse range of cryptocurrencies. Notably, the platform, renowned for its user-friendly interface, emphasizes low fees and positions itself as the sole custodial crypto platform in the market.
Johann Kerbrat, General Manager of Robinhood Crypto, highlighted the EU’s pioneering role in formulating comprehensive crypto regulations. He stated, “The EU has developed one of the world’s most comprehensive policies for crypto asset regulation, which is why we chose the region to anchor Robinhood Crypto’s international expansion plans.”
Amid the EU’s commitment to enforcing regulations, particularly the Markets in Crypto-Assets (MiCA) rule, Robinhood aims to provide transparent and customer-centric services. In the wake of past criticisms in the U.S., where the Securities and Exchange Commission (SEC) questioned Robinhood’s business practices, the company is taking steps to assure European users.
Robinhood promises transparency by displaying the trading spread on its platform, including the rebates from sell and trade orders. Additionally, the company pledges to uphold the separation of customer funds from business funds, except for essential operational purposes such as payment of network fees.
Recognizing the increasing wariness of centralized, custodial platforms following FTX’s collapse, Robinhood is determined to instill confidence in its users. The company acknowledges the importance of addressing concerns around commingling customer coins and is committed to maintaining a clear demarcation for operational integrity.
Despite some hesitancy in its crypto operations, evidenced by voluntary restrictions on certain tokens for U.S. customers in June, Robinhood’s EU venture demonstrates a strategic commitment to providing a secure and transparent crypto trading experience. The crypto app, available on both iOS and Android, is exclusively accessible to European citizens aged 18 and above. Furthermore, Robinhood has outlined plans to introduce additional tokens and features such as crypto transfers, staking, and learning rewards in 2024, further enhancing its offerings for the European market.
