Please don't buy bitcoin on Robinhood

You don't really own bitcoin if you buy bitcoin on Robinhood. Here are some recommended alternatives to buy BTC with trusted exchanges that you can actually withdraw.

Please don't buy bitcoin on Robinhood

Robinhood is a commission-free trading platform loved by Millennials and Zoomers alike for for its oversimplification of financial investing and their app allows users to buy and sell bitcoin, ether, litecoin, XRP, and other major cryptocurrencies, in addition to stocks, options, ETFs and commodities. Unfortunately, you don't really own bitcoin if you buy bitcoin on Robinhood. First, you do not really own bitcoin if you buy bitcoin on Robinhood. Robinhood has no fees, but cryptocurrency buying and selling is not free at all. Robinhood charges an excessive markup on their prices of bitcoin, ethereum, litecoin and XRP compared to other exchanges, and you can't deposit or withdraw BTC to other wallets on the blockchain. You are betting on the price of an index, with Robinhood as your bookie, and this can lead to wildly inaccurate prices when the market gets volatile. Robinhood has been known many times to go offline at the worst times, giving users the dreaded "The platform is performing scheduled maintenance" error message. Robinhood's entire business is built on selling its customers' data to high frequency traders, like Citadel Securities, which accounts for 70% of their revenue. You don't really own bitcoin if you buy bitcoin on Robinhood. Here are some recommended alternatives to buy BTC with trusted exchanges that you can actually withdraw. They are, in no particular order, Kraken, Coinbase, Binance, Gemini, Bitstamp, Bittrex, Coinmama, Changelly, Bitfinex, and peer-to-peer exchanges like Redeeem, Paxful, LocalBitcoins, Bisq, and many others. But please don't buy bitcoin on Robinhood.