Robinhood taps MetaMask to simplify crypto purchases
Self-custodial crypto wallet MetaMask has integrated with Robinhood to allow users to buy cryptocurrencies directly through the popular trading platform’s system. MetaMask’s developer, ConsenSys described this partnership as a major step towards bridging traditional finance with the blockchain-based economy.
Developed by ConsenSys, MetaMask claims to have nearly 30 million monthly active users. In an effort to diversify payment options for its users, the self-custodial wallet already allows its US users to buy cryptocurrencies directly from their bank accounts with no settlement delays.
With this integration, MetaMask users are able to purchase digital assets using Robinhood’s order flow. Simultaneously, Robinhood account holders can transfer their crypto assets to their MetaMask wallet. This collaboration leverages Robinhood Connect, the trading platform’s fiat-to-crypto on-ramp, now included as a service provider in MetaMask’s “Buy Crypto” feature.
Robinhood’s on-ramp feature, launched in April, enables users to fund their crypto wallets without exiting decentralized applications, facilitating a smoother transition for users into web3 applications.
The integration means MetaMask users can use the app’s Buy Crypto aggregator for in-app purchases through Robinhood’s order engine, with transactions automatically connected to their digital wallets.
For users, the process involves selecting a digital asset like USDC, Ethereum, or Bitcoin in MetaMask and receiving a quote from Robinhood. Users are then directed to Robinhood’s transaction interface, with the purchased crypto instantly appearing in their MetaMask wallet for on-chain use.
“Robinhood Connect provides a seamless experience for existing Robinhood customers to fund their self-custody wallet via debit, bank transfer, or Robinhood buying power. This feature allows users to start using their crypto right away,” said Seong Lee, Head of Product at Robinhood Crypto.
“We know that crypto and internet users want greater control and ownership. This will help more people access crypto in a seamless and self-custodial manner, by offering more buying options with service providers they already use and trust,” added Lorenzo Santos, senior product manager at Consensys.
ConsenSys is an Ethereum blockchain firm established in 2014 to develop products that facilitate the building of Web3 applications. In 2022, the company doubled its valuation to over $7 billion. Robinhood, with over $89 billion in assets under management, has transitioned from being perceived as a speculative trading platform to a more established brokerage.
Earlier in December, MetaMask integrated PayPal’s payment system and started allowing US users to purchase crypto directly from within the app.
