Is Robinhood Crypto safe? Licences, account freezes and incidents
Is Robinhood Crypto safe?
Robinhood Crypto has 1 licence found in the register at dfs.ny.gov, issued by the NYDFS. Its terms let it freeze, suspend or close an account, with immediate effect. Its gambling clause is not verified. 2 primary-source incidents are recorded, dated 2022-08-02 and 2024-09-04.
Documents last checked Reviewed by CryptoGuardz Register Desk, editorial desk
Disclosure: CryptoGuardz has no commercial relationship with Robinhood Crypto and earns nothing if you open an account there. Every statement below is read from a document Robinhood Crypto publishes or from a public register, and each carries the date it was read. Corrections go to the corrections page.
Robinhood Crypto review: the documents
This is a review of the documents Robinhood Crypto publishes and of the registers that should list it, not a test of the platform: no account was funded and no withdrawal was run. The binding terms name Robinhood Crypto, LLC as the company you contract with, and state no place of incorporation. The record quotes 7 clauses across 6 topics, read 2026-10-08, from 9 sources. Robinhood Crypto has 1 licence found in the register at dfs.ny.gov, issued by the NYDFS. 1 further licence it claims was not confirmed in any register. Its proof-of-reserves page could not be loaded, so that field is no data. The terms carry a clause on what happens to customer assets if the company fails, quoted below. Its gambling clause is not verified. 7 points could not be verified and are listed below.
Is my crypto safe on Robinhood Crypto?
Robinhood Crypto is a custodial exchange: coins on the account are held by the exchange, not by a key you control. What protects them is what the binding terms say about holding customer assets and about the company failing. One clause on holding customer assets is quoted below.
Cryptocurrencies that I purchase shall be stored and held by RHC in one or more omnibus cryptocurrency wallets for the benefit of RHC customers.cdn.robinhood.com
Insolvency and bankruptcy language in the terms, verbatim:
Under Section 8503(a) of the Code, “all interests in that financial asset held by the securities intermediary are held by the securities intermediary for the entitlement holders, are not property of the securities intermediary, and are not subject to claims of creditors of the securities intermediary.”cdn.robinhood.com
Can Robinhood Crypto freeze my account?
Yes, by its terms. The 2 clauses are quoted as written, followed by the clause on suspending withdrawals. Grounds named in the text: its own discretion, with no reason required, a legal, regulatory or court requirement, suspected fraud, money laundering or a suspicious transaction and a suspected breach of the terms or the law.
I acknowledge and agree that you have the right to immediately (i) cause any of my RHC Accounts or, to the extent permitted by the customer agreement with such Affiliate, any Affiliated Account to be suspended, (ii) cause the funds and assets in any RHC Account and any Affiliated Account to be frozen, and (iii) investigate any RHC Account, until a determination has been made, if (A) you suspect, in your sole discretion, any such accounts to be in violation of this Agreement, your Anti-Money Laundering (“AML”) program or that of any of your Affiliates, any applicable laws or regulations, or the RHC Code of Conduct; (B) you or any of your Affiliates are required to do so by a government or regulatory authority, court order, or facially valid subpoena; (C) any RHC Account or any Affiliated Account is subject to any pending litigation, investigation, or governmental proceeding; (D) any RHC Account or any Affiliated Account has a negative balance; (E) my ACH deposit was returned to my bank; (F) you believe that there is unusual activity in any RHC Account or any Affiliated Account or suspect that I am using RHC, RHF, RHY, my Login Credentials, or other account information in an unauthorized or inappropriate manner; or (G) I have not accessed any of my RHC Accounts in two (2) years of more.cdn.robinhood.com
I further understand that either you or I may close any of my RHC Accounts and that you may deactivate or block access to any of my RHC Accounts at any time and for any reason.cdn.robinhood.com
I recognize that RHC may refuse to process or may cancel pending Send Transactions in its sole discretion, and/or as required by law, the courts or any other regulatory authority to which RHC is subject.cdn.robinhood.com
The gambling clause is not verified. The full reading is in section 10 of the review.
Has Robinhood Crypto been hacked or fined?
2 matters are recorded, each from the primary source linked beside it. The descriptions are the record’s, with the date. Other events may exist that no primary source in this collection confirms, so this list is not proof that there are no others.
The California Attorney General announced "a $3.9 million settlement with cryptocurrency trading platform Robinhood Crypto, LLC (Robinhood), for failing to allow customers to withdraw their cryptocurrency from their Robinhood accounts from 2018 to 2022, and for failing to fully disclose aspects of its trading and order handling arrangements." The release states: "During that period, customers could not withdraw their cryptocurrency and were forced to sell it back to Robinhood to exit the trading platform."
The New York State Department of Financial Services announced that "Robinhood Crypto, LLC will pay a $30 million penalty to New York State for significant failures in the areas of bank secrecy act/anti-money laundering obligations and cybersecurity that resulted in violations of the Department’s Virtual Currency Regulation (23 NYCRR Part 200), Money Transmitter Regulation (3 NYCRR Part 417), Transaction Monitoring Regulation (23 NYCRR Part 504), and Cybersecurity Regulation (23 NYCRR Part 500)." The release adds that "RHC improperly certified compliance with the Department’s Transaction Monitoring Regulation and Cybersecurity Regulation."
Robinhood Crypto support and scams
The official domain in the record is robinhood.com. Type it yourself rather than following a link from an ad, a search result or a message, and reach support only from inside the account you signed in to there.
Real support never asks for a seed phrase or for remote access to your device. An exchange account is opened with a login, not a recovery phrase, so a request for one is a request for a wallet you hold elsewhere. A request to install a screen-sharing or remote-desktop app hands the caller your signed-in session. Either one ends the conversation.
If money has already gone, the next message offering to get it back is the commonest second loss. The FBI, the FTC, the CFTC and the UK FCA have each published warnings about it, quoted on crypto scam recovery: what is real.
What we could not verify
The gaps in this record, as the record states them. A point listed here was looked for and not confirmed; it is neither a finding for Robinhood Crypto nor against it.
- The state of organisation and company number of Robinhood Crypto, LLC. Neither appears in the retrieved text of the Customer Agreement.
- The end of the Customer Agreement. The retrieved text (125,539 characters) stops mid-sentence in Section 25(d), Website Postings, so any later provisions, including any general governing law clause, were not read.
- Whether the Customer Agreement contains a gambling clause. None of gambling, gaming, lottery, casino, betting, wager or sweepstakes appears in the retrieved text, which is incomplete.
- State money transmitter licences other than New York. No other state register was read.
- The FinCEN MSB registration. msb.fincen.gov is disallowed by robots.txt to the retrieval tool.
- Any EU authorisation for Robinhood Europe, UAB. The ESMA CASP register file was served truncated at 81,166 characters (ending at the DEBLOCK SAS row) on two attempts, so absence from it cannot be asserted.
- Any proof of reserves. None was found on robinhood.com.