Robinhood restricts crypto trading as Dogecoin rises 300 percent

Robinhood started trading cryptocurrencies this morning, just as the price of joke cryptocurrency Dogecoin rose more than 300 percent in 24 hours. CNBC reported that users of Robinhood immediately started paying attention to cryptocurrencies on Friday morning, and the company confirmed that it had imposed restrictions.

“Due to exceptional market conditions, we have temporarily turned off instant purchasing power for crypto,” a Robinhood spokesman said in a statement to CNBC. ‘Customers can still use settled funds to buy crypto. We will continue to monitor market conditions and communicate with our customers. ”

Image: Coindesk

Dogecoin came to life in 2013 as a result of a Twitter joke – a play on bitcoin and the dogmas. The price started to rise yesterday, and Dogecoin is currently at a market value of more than $ 7 billion thanks to a large amount of transactions over the past 24 hours.

The market activity and restrictions over the past 24 hours have now made Dogecoin a popular share among r / WallStreetBets investors. Dogecoin has been sent continuously throughout the WallStreetBets Discord server for the past few days.

Bitcoin is also on the move, up nearly 20 percent in the last 24 hours. Tesla CEO Elon Musk also changed his Twitter profile to #bitcoin and tweeted “In retrospect, it was inevitable.”

Robinhood’s latest crypto restrictions come less than a day after the company restricted its users from buying or trading any of the popular Reddit r / WallStreetBets shares, including GameStop ($ GME), AMC ($ AMC), BlackBerry ($ BB), Bed Bath & Beyond ($ BBBY), Nokia ($ NOK), and more.

This is widespread criticism, and Google has been forced to salvage Robinhood’s one-star rating in the Google Play Store by deleting nearly 100,000 negative reviews after unlucky users reviewed the app. Robinhood says it will now allow a limited purchase of shares like GameStop from Friday.