Robinhood Markets, the no-fee trading platform is set to release its version of the Web3 wallet. The wallet named Robinhood Wallet will be using the Polygon blockchain to support its newly launched Web3 wallet.
Still in beta mode, only 10,000 iOS user has been given permission to use it, out of 1 million plus people who have joined the waitlist since May.
Robinhood Chose Polygon As First Network For Its Wallet
The newly introduced non-custodial wallet will probably be utilized to trade cryptocurrencies on decentralized exchanges, but it is anticipated to acquire popularity as the decentralized finance ecosystem on Polygon continues to expand. According to DeFi Llama, the network’s overall worth was frozen at around $1.3 billion at the time of publication.
The newly introduced non-custodial wallet will probably be used to trade cryptocurrencies on decentralized exchanges, its usage should grow as Polygon continue to grow its DeFi ecosystem. According to DeFi Llama, the network’s overall total-value-locked was around $1.3 billion at the time of publication.
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The Robinhood app was able to attract many new investors during the pandemic, due to its zero-fee policy. However, due to the inflation and the bear market, investing on the Robinhood app has taken a hit. Its stock price has fallen almost 50% since the start of 2022 and monthly user base fall by 34%. With the launch of the Robinhood wallet, they hope to drive more users in the crypto market.
Robinhood Wallet for now is only supported using the Polygon blockchain; however, the business wants to extend support for additional networks. Polygon is home to more than 37,000 dApps and some of its biggest projects are Aave, Uniswap and OpenSea.
Robinhood Wallet users will be able to trade and swap tokens, get crypto rewards and connect to decentralized apps (dApps) immediately upon downloading the beta of the app
all of this while paying NO network fees
— Crypto Texan | Polygon DeFi 🦇🔊💜 (@Crypto_Texan) September 27, 2022
The wallet is non-custodial, which means that users maintain their own private keys—password-like information used to access accounts storing cryptocurrency funds—on their own devices rather than entrusting a third party to do so.
Wants To Provide Easy To Use Platform For Crypto Investors
The Robinhood wallet is a standalone app, which allows users can trade and swap cryptocurrencies with no network fees. Johann Kerbrat, the CTO and General Manager of Robinhood Crypto aims to simplify crypto trading using its app, just like how it did for stock trading.
“What we are trying to do is the same thing we did for stocks last time, where we remove the complexities, we are going to do the same thing with web3, opening it to everybody and making it easy to use.”
The wallet will allow users to trade over 20 cryptocurrencies supported by decentralised exchange (DEX) aggregator 0x, without fees, according to CoinDesk.
Similar to how order flow is compensated in the stock market, the transactions are routed via a number of market makers who pay the network fees in order to place the winning bid.