Robinhood Goes Beyond Trading: Launches Fiat-To-Crypto On-Ramp For Self-Custody Wallets

Robinhood Markets Inc (NASDAQ:HOOD), an investment and trading app, announced the launch of “Robinhood Connect” at this year’s Consensus on Thursday, entering the fiat-to-crypto on-ramp space.

What Happened: The service enables users to buy and sell cryptocurrency directly to and from their self-custody wallet, or within decentralized applications (DApps) using a credit or debit card.

By integrating with Web3 projects, Robinhood Connect allows customers to access their credentials natively without having to leave the DApp to conduct the transaction.

At the moment, Robinhood Connect is only available in MyDoge, Giddy, and Slingshot ecosystems, with upcoming support for Exodus and Phantom, said the trading platform in a Twitter post.

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Why It Matters: According to Johann Kerbrat, the General Manager of Robinhood Crypto, "Crypto and Web3 have the potential to change the future of the financial system for the better, but we recognize there are still significant hurdles preventing broader adoption."

The launch of Robinhood Connect puts Robinhood in direct competition with other similar offerings such as Coinbase (NASDAQ:COIN) Pay and MoonPay. 

Robinhood has reported a total of 23 million user accounts and $74.7 billion in assets under custody as of January 2023.

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