Robinhood Reportedly Testing Feature to Protect Crypto Investors From Volatility

The feature was discovered in the code for a beta test version of Robinhood’s iPhone app.

AccessTimeIconJul 27, 2021 at 8:59 p.m. UTC
Updated Aug 21, 2021 at 6:30 p.m. UTC

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

Zero-fee trading platform Robinhood is working on a new feature that will help protect users from crypto price volatility, according to a report from Bloomberg.

Bloomberg’s report, which was based on iOS developer Steve Moser’s analysis of new code contained in a beta test version of the Robinhood iPhone app, claims Robinhood is developing a new feature called “price volatility protection,” which is aimed at reducing the impact of crypto price volatility on users. According to the report, the code contains a message that reads: “To protect your orders against price volatility, we may sometimes skip your recurring orders or buy less than your chosen amount.”

  • Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
    13:18
    Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
  • Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
    05:10
    Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
  • The first video of the year 2024
    04:07
    The first video of the year 2024
  • The last regression video of the year 3.67.0
    40:07
    The last regression video of the year 3.67.0
  • A Robinhood spokeswoman declined to explain or comment on the potential new feature.

    Robinhood is also testing an option called “round up investments” that will allow users to purchase specific stocks with “spare change.” Whether this money will come from rounded-up debit and credit card purchases as done by competitors like Acorn is unclear.

    Robinhood, which is going public this week, struggled with partial outages during the dogecoin spike in May, leading to criticism and a loss of confidence from its user base as well as regulators. 

    Crypto has become an increasingly important part of Robinhood’s business model, with approximately 17% of its Q1 revenue coming from crypto transactions, up from 3% in Q1 of last year.

    In a virtual roadshow for investors last week, Robinhood CEO Vlad Tenev said that expanding and improving the company’s crypto offerings and the app’s security, for which Robinhood was recently fined, is a priority. 

    Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.