Two of the most notable Bitcoin trading apps, Robinhood and Square’s Cash App, appear to be introducing crypto gifting features.
Robinhood and Square Prompt the Trend
On Dec. 13, Bloomberg reported that Robinhood’s app contains code that allows users to send cryptocurrency to one another via redeemable digital gift cards. Messages up to 180 characters in length can be attached. The crypto balance will appear in the user’s account, as Robinhood does not currently allow crypto withdrawals unless the user first converts those funds to cash.
Though Robinhood has not officially announced the feature and it is not in use by the general public, it seems that Robinhood will offer crypto gifting soon.
Cash App, a payments app from Jack Dorsey’s Square, announced a similar gifting feature on Dec. 14. While Cash App previously allowed users to send Bitcoin from their wallet to another user, Cash App’s latest feature now removes the middle step. With this gifting feature, users can buy Bitcoin with traditional currency via credit card or debit, then send that Bitcoin to someone else without holding crypto in the interim.
The fact that both features came to light in December may not be a coincidence, assuming that these companies are catering to investors who are searching for Christmas and holiday gifts that can be sent remotely.
Other Apps Already Include the Feature
Other similar features already exist at other services. Coinbase and Binance—two of the largest crypto exchanges in operation—offer crypto gift cards that users can send by email and which can be redeemed by the recipient. Recipients simply need to open an account at those exchanges to receive the funds.
Stockpile, meanwhile, allows users to gift shares of crypto-related investment funds from asset managers like Grayscale, ProShares, Valkyrie, and Osprey.
While any Bitcoin wallet can potentially be used to send cryptocurrency to another user, gift features are meant to streamline the sender’s process and make the recipient’s experience more appealing. It remains to be seen whether the trend will encourage more crypto gifts this holiday season.