DOGE Cost Averaging: Robinhood rolls out fee-free recurring crypto buy feature
Retail trading platform Robinhood has rolled out a new recurring crypto investment feature for users who want to dollar cost average (DCA) into a coin. Given Dogecoin (DOGE) accounts for 62% of Robinhood’s crypto services revenue, the move could result in a steady stream of small buyers for the meme coin.
The firm announced the launch of the new feature on Wednesday, and users are able to set up recurring investments in multiple crypto assets on a daily, weekly, bi-weekly or monthly basis.
The minimum purchase amount is $1, with the firm promoting the feature as a simple way to DCA into crypto markets without paying fees.
“If you place an order and spend $100 to buy Bitcoin, you’ll get $100 worth of Bitcoin. Period,” Robinhood stated.
Related: PayPal reportedly looks to take on Robinhood with stock trading
According to the platform’s website, recurring crypto orders will usually be processed between 2:30 pm and 4:00 pm ET (6:30 pm to 8:00 pm UTC). Robinhood also states that users may receive less crypto than their set purchase amount during times of market volatility; however, the difference will be refunded in fiat after the trade is completed.
The service is currently unavailable to New York-based customers.
Crypto-based retail trading has surged in popularity on the platform in 2021. According to Robinhood’s Q2 report, crypto trading services generated $233 million in the quarter and represented 41% of its total $565 million of revenue. In comparison, the firm generated a total of $5 million in revenue from crypto trading for the entirety of 2020.
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