The basic steps to purchase crypto on Robinhood

To buy cryptocurrency on Robinhood, you open the app or website, search for the coin you want, tap or click "Buy," enter the dollar amount or number of shares, and confirm the purchase. The process takes a few minutes once your account is funded. Robinhood holds the crypto in your account — you do not receive a separate digital wallet or private keys.

Before you can buy, your account must be linked to a bank account or debit card for funding. Robinhood accepts transfers from most U.S. banks, and deposits typically clear within one to three business days. You can also fund when ready with a debit card, though Robinhood charges a small fee for this option.

Robinhood offers a limited selection of cryptocurrencies compared to dedicated crypto exchanges. As of now, the platform supports Bitcoin, Ethereum, Dogecoin, and a handful of others, but the full list changes over time. Check the app's crypto section to see which coins are currently available.

Key Takeaways

  • You must link a bank account or debit card to Robinhood before you can fund your account and buy crypto.
  • Bank transfers usually take one to three business days to clear, while debit card funding is when ready but carries a fee.
  • Robinhood offers a smaller selection of cryptocurrencies than dedicated crypto exchanges, so the coin you want may not be available.
  • Robinhood holds your crypto in its custody, meaning you do not control the private keys or move coins to an external wallet through the app.
  • You can set up recurring purchases or buy a single amount, and you can sell or transfer out at any time during market hours.

Funding your Robinhood account

Robinhood requires a funded account before any purchase. You can link a checking or savings account from most U.S. banks by entering your routing number and account number, or by connecting through your bank's website if Robinhood supports it. Once linked, you can transfer money to Robinhood, and the funds arrive in one to three business days.

If you want to buy crypto when ready, you can use a debit card instead. Robinhood charges a small fee — typically around 1.5% of the transfer amount — but the money appears in your account right away. This option is useful if you do not want to wait for a bank transfer, but the fee adds to your cost.

Your account must also pass Robinhood's identity verification. You will need to provide your Social Security number, date of birth, and address. This process is automatic and usually completes within minutes.

Finding and selecting a cryptocurrency

Open the Robinhood app or website and tap or click the search icon or "Crypto" tab. Type the name or ticker symbol of the coin you want — for example, "Bitcoin" or "BTC." If Robinhood offers that coin, it will appear in the search results with its current price and a chart showing recent performance.

Tap or click the coin to open its detail page. Here you will see the current price, 24-hour change, and a longer price chart. You can also see any news or updates Robinhood has posted about that coin. If you are ready to buy, tap or click the "Buy" button.

Not all cryptocurrencies are available on Robinhood. If you search for a coin and it does not appear, Robinhood does not currently offer it. You would need to use a different platform, such as Coinbase, Kraken, or another exchange, to purchase that coin.

Entering your purchase amount

After you tap "Buy," Robinhood shows you a screen where you can enter how much you want to spend. You can enter a dollar amount (for example, $100) or, for some coins, a specific number of shares or units. Robinhood will calculate the number of coins you will receive at the current market price.

The price shown is a quote that is valid for a short time — usually a few seconds to a minute. If the market price moves significantly before you confirm, Robinhood may ask you to accept a new price or cancel the order. This protects you from buying at a price much higher than what you saw.

Review the total cost, including any fees, before you confirm. Robinhood does not charge a commission on crypto purchases, but the price you see already includes the spread — the difference between what Robinhood paid for the coin and what it charges you. This spread varies depending on market conditions and the coin.

Confirming your purchase and what happens next

Once you review the details and tap "Confirm" or "Buy," Robinhood processes the order when ready if the market is open. The crypto appears in your account within seconds, and you own it at the price you confirmed. Robinhood sends you a confirmation email with the details of the purchase.

Your crypto is now stored in your Robinhood account. You can view it anytime by opening the app or website and going to your portfolio. You will see the current value, your cost basis (what you paid), and your gain or loss since purchase.

Robinhood holds your crypto in its custody, which means Robinhood controls the private keys and you cannot move the coins to an external wallet directly through the app. If you want to transfer crypto out of Robinhood to another wallet or exchange, you must first sell it, withdraw the cash to your bank account, and then buy it elsewhere — or use a third-party service if Robinhood offers that option for your coin.

Selling crypto or managing your holdings

To sell cryptocurrency on Robinhood, open your portfolio, tap or click the coin you want to sell, and tap "Sell." Enter the amount you want to sell — either a dollar amount or a number of coins — and review the price quote. Tap "Confirm," and the sale completes when ready during market hours.

The cash from your sale stays in your Robinhood account and is available to buy other investments or withdraw to your bank account. Withdrawals to your bank account usually take one to three business days. If you sold at a gain, you may owe capital gains tax on the profit, which you are responsible for reporting to the IRS.

You can also set up recurring purchases if you want to buy the same amount of a coin on a schedule — for example, $50 of Bitcoin every week. This is called dollar-cost averaging and can help reduce the impact of price swings, though it does not may provide a profit or protect against loss.

Fees and costs you should know about

Robinhood does not charge a commission or trading fee when you buy or sell crypto. However, you pay the spread — the difference between the market price and the price Robinhood charges you. This spread is built into the price you see and varies depending on the coin and market conditions. For popular coins like Bitcoin and Ethereum, the spread is usually small; for less-traded coins, it can be larger.

If you fund your account with a debit card instead of a bank transfer, Robinhood charges a fee of around 1.5% of the amount you transfer. A bank transfer is free but takes longer.

Robinhood also charges a small fee if you want to transfer crypto out to an external wallet, though this option is not available for all coins. Check Robinhood's fee schedule or contact support to see the current cost for the coin you want to move.

Frequently Asked Questions

Can I withdraw my crypto to a personal wallet?

Robinhood does not allow you to transfer crypto directly to an external wallet through the app for most coins. You would need to sell your crypto, withdraw the cash to your bank account, and then buy it on another platform that supports wallet transfers. Some coins may have transfer options — check Robinhood's current offerings.

What happens if Robinhood goes out of business?

Robinhood is a brokerage and holds your crypto in custody. If Robinhood fails, your crypto is protected under the same rules as other brokerage assets, though crypto itself is not insured by the FDIC. Robinhood maintains insurance through third parties, but the coverage limits and terms vary. Review Robinhood's disclosures for details.

Can I buy crypto on Robinhood 24/7?

Robinhood's crypto market is open 24 hours a day, seven days a week, unlike stock trading which closes on weekends and after hours. You can buy or sell crypto anytime, though prices may move more during off-hours when trading volume is lower.

Do I pay taxes on crypto I hold but do not sell?

No. You only owe tax when you sell crypto at a gain or use it to buy something. straightforward holding crypto in your Robinhood account does not trigger a tax event. When you do sell, you are responsible for reporting the gain or loss to the IRS.

What is the minimum amount I can buy?

Robinhood allows you to buy fractional shares of crypto, so you can invest as little as $1. There is no minimum purchase amount, though very small purchases may result in a larger spread relative to your investment.