Many companies featured on Money advertise with us. Opinions are our own, but compensation and
in-depth research determine where and how companies may appear. Learn more about how we make money.

Author:
Published: Dec 16, 2021 3 min read
Telephone With Robin Hood App Interface On Screen
Courtesy of Robinhood

Forget the last-minute run to the mall to find a holiday gift.

Robinhood announced Thursday it's launching a crypto gifting feature, which will allow users to send crypto to friends and family via the trading app starting Dec. 22. They can choose from seven cryptocurrencies to give, including Bitcoin, Ethereum and Dogecoin.

Users will be able to give the crypto via their cash balance account — not a crypto account — so there's no need for you to actually own any of the crypto you're giving. You can send as little as $1 worth of crypto with a personalized message directly to the recipient by sharing a link via email or text. The receiver will then have two weeks to accept their gift. If they're a Robinhood customer, they'll be directed to the app. If they're not already a Robinhood user, they'll have to sign up to claim the crypto.

Ads by Money. We may be compensated if you click this ad.AdAds by Money disclaimer
Invest as little or as much as you want with a Robinhood portfolio.
With Robinhood, you can build a balanced portfolio and trade stocks, ETFs and options as frequently as you want, commission-free. Click your state to start investing today!
HawaiiAlaskaFloridaSouth CarolinaGeorgiaAlabamaNorth CarolinaTennesseeRIRhode IslandCTConnecticutMAMassachusettsMaineNHNew HampshireVTVermontNew YorkNJNew JerseyDEDelawareMDMarylandWest VirginiaOhioMichiganArizonaNevadaUtahColoradoNew MexicoSouth DakotaIowaIndianaIllinoisMinnesotaWisconsinMissouriLouisianaVirginiaDCWashington DCIdahoCaliforniaNorth DakotaWashingtonOregonMontanaWyomingNebraskaKansasOklahomaPennsylvaniaKentuckyMississippiArkansasTexas
Get Started

Interest in cryptocurrency has boomed recently. Trading apps like Robinhood and Webull, and even payment platforms like Venmo, make buying and selling crypto as easy as clicking a few buttons. The meme coins Dogecoin and Shiba Inu skyrocketed this year, and headlines about Bitcoin hitting record highs popped up routinely. People won't stop talking about NFTs, either.

So it's no surprise cryptocurrency is top of mind, even when it comes to holiday giving. Just this week, the mobile payment app Cash App announced that you can now send stocks and Bitcoin via the app to other users in U.S. Money even has a full guide to giving cryptocurrency this holiday season.

Courtesy of Robinhood

Keep in mind that giving someone cryptocurrency comes with risks. It's an extremely volatile asset; Bitcoin lost 50% of its value between April and July of 2021, before surging to an all-time high of above $68,000 in November.

In other words, the $30 in crypto you give someone might not be worth $30 just a few days (or hours) later. Plus, the asset's future is uncertain since the government could add new regulations, and while the list of companies that accept Bitcoin as payment is growing, you still can’t make most everyday purchases with the cryptocurrency.

And don't forget about the tax implications your recipient might face. The IRS treats Bitcoin and other cryptocurrencies like property or other investments, which means if you make a profit selling it, you need to pay taxes.

Ads by Money. We may be compensated if you click this ad.AdAds by Money disclaimer
Invest and trade in real time with Robinhood
Robinhood makes investing in financial markets more affordable, more intuitive, and more fun, no matter how much experience you have. Click below to start investing today!
Get Started

More from Money:

How to Gift Cryptocurrency Ahead of the Holidays

Cash App Just Made It Easier to Give Bitcoin and Stocks as Gifts

Robinhood for Beginners: A Complete Guide to Investing With the Controversial Stocks App