How to Sell Crypto on Robinhood

Have you been buying and holding cryptocurrency on Robinhood and are now ready to cash out some of your gains? Selling crypto on Robinhood is a straightforward process that can be done right from the app. Here is how to sell crypto on Robinhood.

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1: Open Your Crypto Holdings

To start, open the Robinhood app on your smartphone and tap the “Account” icon located in the bottom right corner of the screen. This will bring up an overview of your investment portfolio, including any cryptocurrencies you currently own. Tap on the specific cryptocurrency that you want to sell.

2. Select “Sell.”

On the page dedicated to the selected cryptocurrency, you’ll see important information such as your current holdings and the real-time market price of the asset. To initiate the selling process, locate and tap the “Sell” button.

3. Enter the amount to sell.

After tapping “Sell,” you’ll be prompted to input the dollar amount of the cryptocurrency you wish to sell. You have the option to sell your entire holding or just a specific portion of it. The app will conveniently display the equivalent amount of the coin you’ll be selling based on the current market price.

Once you’ve entered your desired sell amount, tap “Review” to proceed to the next step.

4. Review and confirm the transaction.

Before finalizing your sale order, it’s crucial to carefully review all the details on the confirmation screen. This includes the specific cryptocurrency being sold, the quantity, the current market price, and the estimated proceeds you’ll receive from the sale.

If you’re satisfied with the information presented, tap “Confirm” to submit your sale order.

5. Monitor the transaction status.

After confirming your sell order, Robinhood will execute it at the current market price. You can monitor the status of your transaction by navigating to the “Orders” tab within the “Account” page. In most cases, the sale will complete instantly, and the proceeds will be credited to your Robinhood account balance. However, you need to be sure that during periods of high market volatility or service interruptions, there may be a short delay in the execution of your order.

6. Withdraw funds (optional)

If your intention is to withdraw the money from your Robinhood account to your linked bank account, you can do so by going to the “Account” page and tapping on “Transfer.” From there, select “Transfer to Your Bank.” Enter the specific amount you want to transfer out of Robinhood, review the details to ensure accuracy, and then confirm the transaction. Keep in mind that the transfer process usually takes 1-3 business days to complete, depending on your bank’s processing times.

Key Takeaway

1. Selling crypto on Robinhood is a simple process that can be done directly within the app by navigating to your crypto holdings and selecting the “Sell” option.

2. You have the flexibility to sell your entire crypto holding or just a specific portion, depending on your preferences and investment strategy.

3. Robinhood executes your sell order at the current market price, and the proceeds are instantly credited to your account balance once the transaction is complete.

4. There are no commission fees for selling crypto on Robinhood, making it a cost-effective option for investors.

5. If you wish to withdraw the funds from your Robinhood account, you can easily transfer the money to your linked bank account, which typically takes 1-3 business days.

6. Selling cryptocurrency is considered a taxable event, and Robinhood provides a tax document at the end of the year summarizing your crypto transactions. It’s important to consult with a tax professional for proper reporting and compliance.

7. Before selling your crypto, it’s crucial to assess your risk tolerance and consider the potential market volatility. Cryptocurrency prices can fluctuate significantly, and it’s essential to make informed decisions based on your investment goals and financial situation.

Frequently Asked Questions

1: Can I sell my crypto at any time?

Yes, Robinhood allows you to sell your cryptocurrency holdings at any time, 24/7, subject to market conditions and service availability.

2. Is there a fee to sell crypto on Robinhood?

No, Robinhood does not charge any commissions or fees for cryptocurrency trades. However, they do include a spread in the buy and sell prices, which is how they make money on crypto transactions.

3. What happens if I only sell part of my crypto holding?

If you only sell a portion of your cryptocurrency, the remaining amount will stay in your Robinhood account. You can sell the rest later or hold onto it.

3. How long does it take to get my money after selling?

The proceeds from a crypto sale are instantly credited to your Robinhood account. However, transferring the funds to your linked bank account can take 1–3 business days.

4. Do I have to pay taxes on my crypto sales?

Yes, selling cryptocurrency is a taxable event. Robinhood provides a tax document at the end of the year summarizing your crypto transactions. It’s best to consult with a tax professional for guidance. Selling crypto on Robinhood is a quick and easy process, but always consider the potential tax implications and risks before making any trades.