It is no secret that Robinhood, a regulated trading platform that offers crypto services, is fully regulated under US laws by the SEC. While this might sound reassuring, their actions in 2021 during the Bitcoin bullrun speak otherwise.
At the start of the bullrun, when prices were starting to increase, Robinhood disabled the ability to buy crypto or load money onto user accounts. The excuse they gave was ‘extraordinary market conditions.’ However, the market hadn’t yet reached its peak at this point. People were naturally angry, so they left over 100,000 negative reviews on Google, which were subsequently removed. This is a prime example of what can happen when a crypto service is under government control.
Unfortunately, despite their unethical behaviour, Robinhood is still in operation and many people still use them. This should serve as a warning to traders who are considering using their services. The upcoming BTC halving is less than a year away, so it is best to stay away from Robinhood. Their track record speaks for itself; it is only a matter of time before they cheat or potentially even steal from their users.
At the end of the day, it is best to be safe than sorry. Steer clear of Robinhood and buy and trade your crypto on a platform that you can trust.