Robinhood Taps 0x For Gasless Swaps On Arbitrum

Robinhood, a commission-free trading platform, is launching gas-free trading on Arbitrum, the largest Ethereum Layer 2 network by TVL.

Robinhood launched the feature on May 23, allowing users to execute gasless trades on the Arbitrum network via Robinhood Wallet. 0x, a decentralized exchange protocol, will provide decentralized exchange aggregation services for Robinhood.

Robinhood said 0x will provide traders with the best price quote available to traders. Users can also route trades incurring gas fees should they offer a better price than gasless trades.

“Users can swap without needing ETH for gas on Arbitrum, with 0x as the DEX aggregator behind the activation,” Robinhood said.

The news follows Robinhood teaming up with Arbitrum in February to offer traders access to swaps via Arbitrum-based decentralized exchanges.

“Accessing and transacting on L2s has historically been difficult to non-crypto natives, but Robinhood Wallet now helps strip away the complexities to help onboard those new to web3,” said Johann Kerbrat, General Manager of Robinhood Crypto.

Robinhood expands crypto offerings

Robinhood first began providing crypto trading services in February 2018 with the launch of Bitcoin and Ethereum markets across five U.S. states. “Cryptocurrencies have become the first foray into investing and financial services to a large number of people,” said Robinhood co-founder, Vlad Tenev.

Robinhood began expanding its roster of cryptocurrencies with the addition of Bitcoin Cash and Litecoin in July 2018, alongside the introduction of support for on-chain cryptocurrency transfers. By 2021, Robinhood users in all but two U.S. states could access its cryptocurrency markets.

In March 2021, Robinhood announced plans to ship a non-custodial cryptocurrency wallet, following up with a beta launch of the Polygon-powered wallet to 10,000 iOS users in September 2022. Robinhood Wallet became available to all iOS users in March 2023 and Android users in March of this year.

In December 2023, Robinhood rolled out crypto trading for European users, also announcing plans to bring the service to U.K. customers in 2024. The company launched a custodial Solana (SOL) staking service for European customers last week.

However, Robinhood’s crypto business suffered a blow in the U.S. on May 4 when it received a Wells Notice from the Securities and Exchange Commission (SEC). A Wells Notice is issued when the regulator completes an investigation concluding that the recipient has infringed securities law, and typically precedes a formal complaint.

The notice came despite Robinhood delisting Solana, Cardano, and Polygon after the assets were named as securities assets in the SEC’s lawsuits against Coinbase and Binance.