Robinhood Rolls Out New U.S. Spot Bitcoin ETF Trading

Robinhood customers can now trade the new spot bitcoin exchange-traded funds alongside ongoing cryptocurrency transactions, tapping shift.

Key Insights

  • Robinhood has started offering the new spot bitcoin ETFs approved by the SEC, available for trading to all U.S. customers.
  • The 11 ETFs can be bought and sold within Robinhood’s brokerage and retirement accounts, alongside continued direct bitcoin trading.
  • It expands crypto access for Robinhood’s retail users as regulators shift stance, allowing mainstream indirect exposure to bitcoin.

NEW YORKRobinhood Markets Inc said on Thursday it has started offering the new spot bitcoin exchange-traded funds (ETFs) approved this week by U.S. regulators, expanding trading options for customers seeking crypto exposure.

The popular retail trading platform opened the buying and selling of all 11 recently cleared spot bitcoin ETFs to users, providing access through both its brokerage and retirement accounts.

The move came just days after the Securities and Exchange Commission (SEC) gave the green light for the ETFs to begin trading, opening the $1.3 trillion bitcoin market to a broader range of investors.

Providing expanded access to the financial markets and increasing customer choice are at the core of Robinhood’s mission, which is why we’re excited to add support for various Bitcoin ETFs, said Steve Quirk, the company’s chief brokerage officer.

Customers can still directly purchase and sell bitcoin through Robinhood’s crypto trading feature as well, which saw 9.5 million users transact in the virtual coin last year.

Read also! Is Robinhood Legit?

Offering spot ETFs allows mainstream investors like pension funds indirect exposure to cryptocurrencies without having to hold the assets directly, through shares backed by bitcoin reserves.

It marks a shift in posture toward crypto markets by regulatory agencies including the SEC, which repeatedly rejected spot bitcoin ETF proposals last year on concerns over liquidity and potential manipulation.

New Chair Gary Gensler has targeted crypto companies with lawsuits but appears open to allowing regulated crypto offerings enabling broader participation with additional protections.

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