Robinhood (HOOD -0.66%) is enhancing its capabilities related to cryptocurrencies. The company now offers customers the option of buying cryptocurrencies commission-free by scheduled purchase. Robinhood has started a waitlist for its crypto wallets, with more than 1 million customers already signed up.
It comes as no surprise that Bitcoin (BTC -0.15%) comes out on top when it comes to cryptocurrencies that Robinhood supports. The coin is the most widely used digital currency in the world. The market cap of this company is the largest by far.
It is also possible to buy and sell Bitcoin Cash through Robinhood (BCH -0.08%). The cryptocurrency is similar to Bitcoin in a lot of ways. A group of developers left the Bitcoin project in 2017 in order to create Bitcoin Cash, an alternative coin designed to address some of the perceived problems with Bitcoin. Currently, Bitcoin Cash is ranked as the 21st largest cryptocurrency by market capitalization.
In addition to Bitcoin, the platform also offers another member of the Bitcoin family, Bitcoin SV (BSV -1.84%). Based on market capitalization, this cryptocurrency ranks No. 57. 2018 was the year that it separated from the Bitcoin Cash blockchain. According to Bitcoin SV's vision, it will adhere to Bitcoin's original design to the greatest extent possible.
The Dogecoin (DOGE 2.19%) cryptocurrency started out as a joke, but Robinhood took it seriously enough to be able to offer it to investors. There has been a surge in popularity for this meme coin, which has grown into the world's tenth most valuable cryptocurrency in terms of market capitalization. A critical factor was Elon Musk's active promotion of Dogecoin, which included calling himself "Dogefather" and including it on his shortlist of crypto assets.
The real-world utility of Ethereum (ETH -0.58%) is arguably unmatched by any other cryptocurrency at the moment. The technology behind its blockchain can be applied to a variety of different applications, such as non-fungible tokens and digital payments. This might explain why Robinhood includes it among the few cryptocurrencies it supports. In terms of market capitalization, Ethereum ranks second only to Bitcoin.
The Robinhood app supports not only a variety of Bitcoins but also a fork based on Ethereum referred to as Ethereum Classic (ETC -0.65%). As a matter of fact, Ethereum Classic remains the original Ethereum blockchain as it was in 2016 before a major hack took place. According to its market capitalization, it is now the 33rd most valuable cryptocurrency in the world.
In addition to bitcoin, the last cryptocurrency Robinhood supports is Litecoin (LTC -0.32%). Based on the market cap, it is the 14th most valuable cryptocurrency. It was designed to be similar to Bitcoin; however, it has lower transaction fees as well as some technical differences that make it ideal for point-of-sale transactions.
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