How to Sell Crypto on Robinhood

Your Complete Guide to Cashing Out Crypto on Robinhood with Ease

5 minutes read

Table of Contents

Steps to Sell Crypto on Robinhood

To sell crypto on Robinhood, first ensure you have a Robinhood account and hold the cryptocurrency you want to sell. Then, follow these steps:

Access the Crypto Section: Open the Robinhood app or website and navigate to the “Crypto” section.
Select the Crypto to Sell: Search for and click on the specific cryptocurrency you want to sell.
Choose to Sell: On the crypto’s detail page, select the “Sell” option.
Enter the Amount: Decide whether to sell by the amount of crypto or a USD value, then enter the amount.
Choose Order Type: Pick an order type, such as a market order for immediate sale or a limit order for a specific price.
Review and Submit: Check all details, then submit your order to complete the sale.

Additional Considerations

Unexpectedly, Robinhood offers various order types like stop and stop limit orders, which can help manage risks in volatile markets. Be mindful of collars on market orders, which might adjust your sale if prices shift significantly.

Comprehensive Guide on Selling Crypto on Robinhood

This detailed survey note provides an in-depth exploration of how to sell cryptocurrency on the Robinhood platform, expanding on the key points and steps outlined above. It aims to offer a thorough understanding for users, whether they are beginners or experienced investors, ensuring all aspects of the process are covered with clarity and precision.

Introduction to Robinhood and Crypto Trading

Robinhood is a popular online broker that has expanded its services to include trading in stocks, options, and cryptocurrencies. As of March 2025, it supports a variety of digital currencies, making it a convenient platform for investors looking to buy, hold, or sell crypto assets. This guide focuses specifically on the process of selling crypto on Robinhood, providing step-by-step instructions and additional insights to ensure a smooth transaction.

The platform is known for its user-friendly interface, but users should be aware of potential fees, market volatility, and the importance of understanding order types to optimize their sales. This note will cover prerequisites, detailed steps for both the app and web platforms, and additional considerations like order types and common mistakes to avoid.

Prerequisites for Selling Crypto

Before proceeding, ensure you meet the following prerequisites:

Have a Robinhood Account: If you don’t have one, sign up and complete the verification process on the Robinhood website or app.
Hold Crypto in Your Account: You must have the cryptocurrency you wish to sell in your Robinhood account. Note that as of March 17, 2023, legacy deposit addresses for certain cryptos like BTC, BCH, DOGE, ETC, and LTC are no longer supported, so ensure your crypto is credited properly (Buy or sell crypto).

Step-by-Step Guide to Selling Crypto on Robinhood

The process of selling crypto on Robinhood is similar for both the app and web platforms, with slight variations in user interface. Below is a detailed breakdown of each step, ensuring users can follow along easily.

Step 1: Access the Crypto Section

On the App: Open the Robinhood app and select “Crypto” from the bottom navigation menu.
On the Web: Visit the Robinhood website and click on “Crypto” from the top navigation bar. This step ensures you are in the correct section to manage your cryptocurrency holdings.

Step 2: Select the Crypto to Sell

Use the search bar to find the specific cryptocurrency you want to sell, such as Bitcoin (BTC) or Ethereum (ETH).
Click on the crypto to view its detail page, which shows current price, historical chart, and your available balance. This step is crucial to ensure you select the right asset.

Step 3: Choose to Sell

On the crypto’s detail page, look for the “Sell” button or option, typically located near the “Buy” button. This action initiates the selling process.

Step 4: Enter the Amount to Sell

Robinhood allows flexibility in how you enter the amount to sell. You can choose to sell:
- A specific amount of the cryptocurrency (e.g., 0.5 BTC).
- A specific USD value you want to receive (e.g., $500 worth of ETH).
For limit orders, you can set the minimum USD amount you’re willing to receive, rounded down to the nearest cent, as detailed in the support documentation (Buying and selling crypto). Ensure the amount meets the minimum order size, which is $0.01 for market maker routing and $0.03 for smart exchange routing.

Step 5: Choose the Order Type

This step is critical as it determines how and when your sale will execute. Robinhood offers several order types, each with specific characteristics:

Order Type	Description	Collar for Sell Orders	Execution Notes
Market Orders	Executes at the best available price, adjusted to limit orders up to 5% collar.	5% lower than price at order time	May cancel after 2 minutes if not executed. See Why do the crypto mark price and order price differ?
Limit Orders	Sell at specified price or better, rounded down to nearest cent.	N/A	Executes only if bid price meets or exceeds limit price. See Cryptocurrency investing
Stop Orders	Triggers market order at stop price, with up to 5% collar for sell orders.	5% lower than price at trigger	Becomes market order at best available price. See Cryptocurrency investing
Stop Limit Orders	Triggers limit order at stop price, sells at limit price or higher.	N/A	May not execute if market lacks liquidity at limit price. See Cryptocurrency investing

Market Order: Ideal for immediate sales, but be aware of the 5% collar, which means the order might not execute if the price drops more than 5% from when you placed it.
Limit Order: Allows setting a minimum price, ensuring you don’t sell below your target, but it may not execute if the market doesn’t reach your price.
Stop Order: Useful for protecting against further losses, triggering a sale when the price falls to your stop price.
Stop Limit Order: Offers more control, triggering a limit order at your specified price, but may not execute in illiquid markets.

Select the order type by accessing the “Actions” (down arrow) menu and confirming your choice, as outlined in the support articles (Buy or sell crypto).

Step 6: Review and Submit the Order

Review the order details, including the amount, order type, and any price settings, to ensure accuracy.
For the app, swipe up to submit your order; for the web, select “Submit buy or sell” to place your order. Once submitted, the order will be processed based on the chosen type and market conditions.

Understanding Order Types and Market Dynamics

Understanding order types is essential for managing risks and optimizing sales, especially given the volatile nature of cryptocurrency markets. The spread between buy and sell prices, known as the spread, indicates market liquidity; smaller spreads for well-known cryptos like Bitcoin suggest easier trading (Buying and selling crypto). Additionally, Robinhood allows trading 24/7, with exceptions for scheduled maintenance, providing flexibility for users.

Common Mistakes to Avoid

To ensure a successful sale, be mindful of the following:

Insufficient Funds: Ensure you have enough crypto to cover the amount you want to sell.
Incorrect Amount Entry: Double-check the amount to avoid selling more or less than intended, especially when entering fractional amounts.
Wrong Order Type: Choosing a limit order when you need immediate execution can delay your sale; understand each type’s implications.
Ignoring Collar Limits: Market orders have a 5% collar for sell orders, which can affect execution in volatile markets, so plan accordingly.

Additional Considerations and User Experience

Robinhood’s platform is designed for ease of use, but users should be aware of potential fees, which are among the lowest on average in the US as of January 2025 (Robinhood Crypto). However, tax implications may arise from selling crypto, and users should consult a tax professional for advice. Additionally, as of March 2023, crypto transfers and NFTs are limited, with NFTs sent to Robinhood Ethereum addresses potentially being lost and unrecoverable (Crypto transfers).

Compared to other platforms like Coinbase, Robinhood offers a simpler interface but may have fewer advanced features for crypto trading (Coinbase vs. Robinhood: Which Should You Choose?). This makes it suitable for beginners but may lack depth for experienced traders.

Conclusion

Selling crypto on Robinhood is a straightforward process once you understand the steps and order types available. By following this guide, users can confidently navigate the platform, make informed decisions, and manage their crypto investments effectively. For further assistance, Robinhood’s support team is available, and additional resources can be found on their support pages (Contact Robinhood Support).