Robinhood reportedly reintroduced its instant deposit feature for crypto purchases amid Dogecoin (DOGE) surge after the feature was suspended on January 29
Robinhood, the trading app for stocks and cryptocurrencies, has reportedly re-enabled its instant deposit feature for crypto purchases after nearly a week of suspension.
The company removed the earlier notice from its support page that said instant deposits were suspended, and its website now indicates that some users again have “instant access” to buy up to $1,000 worth of cryptocurrency. Many users also reported regaining access to the feature late Thursday, sharing their experiences across social media platforms.
The “instant buying” option is a paid feature that lets Robinhood customers access funds immediately following bank deposits or stock trades. While users could still purchase crypto using funds already in their accounts, some new deposits normally take up to five business days to clear. That delay can risk missed opportunities when trading volatile assets.
With retail traders reportedly able to use this feature again, Dogecoin (DOGE) — the meme-based cryptocurrency — climbed more than 50% within 24 hours, peaking near $0.06 before pulling back. The token’s rally was further amplified after Tesla and SpaceX CEO Elon Musk mentioned DOGE in several tweets the previous day, attracting additional buying interest.
Elon has gone full doge 😂 pic.twitter.com/urQ6Q0R2tz
— Dan Held | BIP-420 (@danheld) February 4, 2021
Robinhood remains under scrutiny after it temporarily restricted purchases of GameStop Corp (NYSE: GME) and several other stocks that were the focus of a surge in retail buying driven by users of the r/WallStreetBets subreddit last week.
The restrictions had significant consequences for Robinhood, leading the company to delay its planned initial public offering. U.S. House Financial Services Committee members have scheduled a hearing to examine the events, and Robinhood CEO Vlad Tenev is expected to testify as a key witness.