While a lot of crypto newbies start their crypto journeys on Robinhood, many quickly realize the
downsides of buying crypto on Robinhood and decide to transition to Coinbase. The main
problem with using Robinhood for crypto is that Robinhood doesn’t give you control over your
crypto.
While Coinbase allows you to withdraw your Bitcoin to a private wallet or store your crypto in
your Coinbase wallet, Robinhood offers no such features. There is no way to withdraw your
crypto from Robinhood, nor is there a way to send it to friends.
That sort of defeats the entire purpose of cryptocurrency, which is to maintain decentralization
and avoid giving control of your assets to a large corporation. Furthermore, since you can’t
withdraw your crypto from Robinhood, and you don’t have access to your wallet keys, you don’t
truly own it. As the saying goes, “Not your keys, not your crypto.”
If you’d like to transition to Coinbase, here’s how to do it.
Table of Contents
Transfer Directly From Robinhood to Coinbase
Robinhood is planning to release a beta version of a crypto wallet very soon. Once that
happens, you will be able to withdraw your crypto from Robinhood to another wallet, including a
Coinbase wallet. The process will be quick and simple – you’ll just have to get your Coinbase
wallet address and send money to it from Robinhood. You’ll also be able to send crypto to
friends.
It will also start making more sense to buy crypto on Robinhood, as you will own the crypto
yourself. Right now, you’re not buying crypto on Robinhood – only the guarantee of owning
crypto.
However, this feature may be in beta mode for a while and only remain accessible to some
users. We’ll update this page when new information becomes available, so do check back
frequently for updates. As of now, you may be able to join the waitlist.
Until the feature fully rolls out, if you want to transfer crypto from Robinhood to Coinbase, your
only option is to sell the crypto and then buy new crypto.
Transferring Crypto From Robinhood: Transfer Workaround
If you want to get your crypto from Robinhood to Coinbase as soon as possible, use this
workaround. It requires a few extra steps, but it’s not as complicated as it seems.
Selling Your Robinhood Crypto
Your first step should be to sell your Robinhood crypto for USD. Selling crypto on Robinhood is
a quick and easy process.
Here’s how to sell cryptocurrency on the Robinhood app:
- Visit the cryptocurrency page.
- Click on the Trade button.
- Click on Sell.
- Tap on Order Types.
- Select an order type.
- Confirm your order details.
- Swipe up to place your sell order.
On the web app, follow these steps:
- Visit the cryptocurrency page.
- Click on Sell.
- Enter the amount of crypto you’d like to sell.
- Tap on Review.
- Confirm your order and complete the sale.
Once you’ve sold your crypto, you may have to wait 2-3 days before the money settles in your
account and becomes available for withdrawal. This period is known as the settlement period.
Transferring Robinhood Funds to an Existing Bank Account
Once your account has settled and the money becomes available for withdrawal, you can go to
your Account page and tap on Transfers to withdraw your money to your bank account. If you
have several bank accounts linked to your Robinhood account, you can choose the one you’d
like to withdraw the money to.
It’s worth noting that in addition to the settlement period, you may have to wait five days from
the initial deposit of funds into your Robinhood account before it becomes available for
withdrawal. While funds may be available for instant trading after a bank transfer deposit, they
don’t become fully available in your Robinhood account until five business days have passed.
Transferring Robinhood Funds to a New Bank Account
It’s suggested that you withdraw Robinhood funds to the bank account you used to deposit the
funds with which you purchased the crypto. That’s because if 60 days haven’t passed since you
deposited the funds used to purchase the crypto, you may have to verify your identity again
before withdrawing to a new bank account.
If your original bank account was closed, or you can’t use it, you may be required to provide
copies of your ID, bank statements, and an explanation of why you need to withdraw your
money to a new bank account.
In either case, it may take several business days before your funds become available in
Setting up a Coinbase Account
Once you’ve gotten your money back in your bank account, it’s time to set up a Coinbase
account if you don’t have one yet. One of the cool things about this step is that you can get $5 in
free crypto when creating your new account.
You can create an account on Coinbase.com or the mobile app. You’ll need a government ID
(not a passport card) and a phone number to receive an SMS verification code.
Whether you use the website or mobile app, tap on “Get Started” and follow the prompts. You’ll
need to enter your details, agree to the terms and conditions, and verify your email address and
phone number. You’ll get an email with a verification link and an SMS message with a
verification code.
Coinbase will ask you for information from your ID, photos of your ID, your SSN, and income
information for tax purposes.
For a full breakdown of the steps required to create a Coinbase account, visit this page. Overall,
the process is easy, as you simply have to follow the prompts on the app or website. There’s no
need to memorize the steps before starting. Coinbase will walk you through the process.
Depositing Funds Into Your Coinbase Account
There are a few ways to deposit funds into a Coinbase account. You can link your bank account
instantly by providing your login details, or you can use the manual verification process, which
can take a few days. Alternatively, you can add a debit card, PayPal, Apple Pay, or Google Pay.
To add funds to your Coinbase, head to your Portfolio and tap on “USD.” Then, click on “Add
Cash.” Enter the amount of cash you’d like to deposit and select a payment method. You will be
able to see deposit timeframes and fees.
If you are using a bank transfer to fund your account balance, it may take several days before
funds become available.
Purchase Crypto on Coinbase
You don’t need to deposit funds to Coinbase before purchasing crypto. You may buy crypto
directly using any of the above-mentioned payment methods.
When you use a debit card, PayPal, Apple Pay, or Google Pay, you will get your crypto instantly.
On the other hand, if you use an ACH bank transfer, it may take a few days before you get the
crypto in Coinbase.
However, using a bank transfer might incur fewer fees. While a debit card is quicker, it usually
comes with additional fees. You can compare costs by selecting different payment methods at
checkout and clicking on “Preview Buy.”
To purchase cryptocurrency directly on Coinbase, go to the homepage of the app and tap on the
“Buy” button, which may be identified by a + sign. Then, scroll through the different crypto
options and select the crypto you want to purchase.
Enter a monetary amount and select a payment method. Click on “Preview Buy” to see
timeframes and fees before confirming your purchase.
Selling or Trading Crypto on Coinbase
You can sell your crypto on Coinbase for USD by clicking on the “Sell” button when you open
the app, which is next to the Buy button. Select the crypto you’d like to sell, enter an amount,
and complete the sale. You can then withdraw the funds to your bank account instantly.
If you’d like to trade one crypto for another crypto, you can do that from the Portfolio tab by
selecting the crypto you’d like to trade.
Withdrawing Crypto From Coinbase to Your Wallet
Alternatively, you can withdraw crypto from your Coinbase wallet to another wallet. Simply click
on the “Send” button on the homepage, next to the “Sell” button. Select a cryptocurrency and
enter an amount and wallet address you’d like to send it to. You can send it to your wallet or a
friend’s wallet, or even to an exchange wallet.
Otherwise, you can hold the crypto in your Coinbase wallet. Unlike Robinhood, you have actual
control of your crypto on Coinbase, and you can withdraw it at any time. Once Robinhood rolls
out its new wallet, you’ll be able to withdraw to your Robinhood wallet as well.
Final Thoughts
If you own crypto on Robinhood, transferring it to Coinbase is still somewhat of a tedious
process. However, it won’t take more than a few days, and it requires just a few basic steps.
Hopefully, Robinhood will release its wallet feature soon – check back on this page for updates.