Close Menu
  • Crypto News
  • Markets
  • Bitcoin
  • Ethereum
  • XRP
  • Altcoins
  • Technology
  • More
    • Crypto Prices – Latest from BTC, ETH & XRP
    • NFT
    • DeFi

Subscribe to Updates

Get the latest crypto news and updates directly to your inbox.

Trending

‘This Could Very Well Be the Ultimate Bull Trap’ – Trader Issues Urgent Crypto Warning As Bitcoin Blasts Past $118,000

July 11, 2025

Analyst Sounds The Alarm: Shiba Inu Primed For Over 1,500% Breakout

July 11, 2025

GMX hacker returns stolen funds after bounty negotiation 

July 11, 2025

Bitcoin, Ethereum and Ripple rally as Trump’s tariff uncertainty clears and $130K is in sight

July 11, 2025

Dow Jones down 300 points on Trump’s tariff threats, Bitcoin reaches new ATH

July 11, 2025
Facebook X (Twitter) Instagram
  • Advertise
en English
nl Nederlandsen Englishfr Françaisde Deutschit Italianoru Русскийes Españolzh-CN 简体中文hi हिन्दीja 日本語
Crypto Observer
  • Crypto News

    Analyst Sounds The Alarm: Shiba Inu Primed For Over 1,500% Breakout

    July 11, 2025

    Bitcoin Breaks ATH, Hayes Flips Bullish: ‘Maelstrom Is Backing Up the Truck’

    July 11, 2025

    SUI Explodes Higher, Climbing Above 20-Day MA — But Can The Rally Hold?

    July 11, 2025

    SUI Price Eyes $3.60 Breakout After 20% Weekly Surge

    July 11, 2025

    What’s Driving Crypto in 2025? 99Bitcoins Releases Q2 Report

    July 11, 2025
  • Markets
  • Bitcoin
  • Ethereum
  • XRP
  • Altcoins
  • Technology
  • More
    • Crypto Prices – Latest from BTC, ETH & XRP
    • NFT
    • DeFi
Facebook X (Twitter) Instagram
Crypto Observer
Home » Altcoins » Robinhood hit with second probe over misleading crypto marketing
Altcoins

Robinhood hit with second probe over misleading crypto marketing

Crypto Observer StaffBy Crypto Observer StaffJuly 11, 2025No Comments2 Mins Read
Facebook Twitter Pinterest Reddit Telegram Email LinkedIn Tumblr
Share
Facebook Twitter LinkedIn Pinterest Email

The trading platform is facing mounting regulatory pressure, landing under the microscope of another watchdog just days after a separate investigation.

According to a Thursday press release, the Florida Attorney General’s office has launched an investigation into Robinhood’s cryptocurrency business. 

Central to the probe are allegations that the company used deceptive marketing tactics to mislead users about trading costs, “falsely promoting” its trading platform as the “least expensive way to purchase crypto.” 

Authorities spotlighted Robinhood’s payment-for-order-flow (PFOF) model. Instead of charging users trading fees, Robinhood routes orders to third-party market makers, who pay the platform for the right to fill those trades. 

While this model enables commission-free trading on the surface, the AG’s office argues that it may result in less favorable execution prices for customers, making it more expensive overall than rival platforms offering all-in pricing.

“Robinhood has long claimed to be the best bargain, but we believe those representations were deceptive,” said Attorney General James Uthmeier in the statement, emphasizing that investors deserve full transparency when buying and selling digital assets.

Uthmeier also noted that “crypto is a vital component of Florida’s financial future,” and framed the enforcement action as aligned with President Trump’s broader push to advance the U.S. crypto market.

As part of the probe, the AG’s office has issued a subpoena demanding Robinhood to turn over marketing materials, internal communications, pricing data, user disclosures, and employee records related to crypto operations in Florida. The company has until July 31 to comply.

The latest case marks the second major regulatory challenge for Robinhood’s crypto unit in just over a week. Earlier, on July 7, 2025, European authorities launched a separate probe into Robinhood’s tokenized stock offerings after backlash from companies like OpenAI, which denied authorizing its shares to be marketed via the platform.

Robinhood CEO Vlad Tenev has since defended the tokenization model, saying it opens access to private equity markets and has attracted interest from more firms. Tenev also touted the firm’s compliance practices, pointing to ongoing talks with regulators in the US and other markets as the firm looks to expand access to its new offerings.

However, with regulators now circling, Robinhood faces mounting scrutiny that could complicate its expansion plans. 

Read the full article here

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Dow Jones down 300 points on Trump’s tariff threats, Bitcoin reaches new ATH

July 11, 2025

Dogecoin Barks Up Huge Gains as Meme Coin Traders Await Pump.fun Token Sale

July 11, 2025

Aave gains 18% weekly amid ecosystem growth, stablecoin dominance

July 11, 2025

Chainlink Welcomes OnRe With Onchain NAV on Solana

July 11, 2025
Add A Comment

Leave A Reply Cancel Reply

Subscribe to Updates

Get the latest crypto news and updates directly to your inbox.

Top Posts

‘This Could Very Well Be the Ultimate Bull Trap’ – Trader Issues Urgent Crypto Warning As Bitcoin Blasts Past $118,000

July 11, 2025

Analyst Sounds The Alarm: Shiba Inu Primed For Over 1,500% Breakout

July 11, 2025

GMX hacker returns stolen funds after bounty negotiation 

July 11, 2025
Advertisement
Demo

Crypto Observer is your one-stop website for the latest crypto news and updates, follow us now to get the news that matters to you.

Facebook X (Twitter) Instagram
Crypto News

Bitcoin Breaks ATH, Hayes Flips Bullish: ‘Maelstrom Is Backing Up the Truck’

July 11, 2025

SUI Explodes Higher, Climbing Above 20-Day MA — But Can The Rally Hold?

July 11, 2025

SUI Price Eyes $3.60 Breakout After 20% Weekly Surge

July 11, 2025
Get Informed

Subscribe to Updates

Get the latest crypto news and updates directly to your inbox.

Facebook X (Twitter)
  • Privacy Policy
  • Terms of use
  • Advertise with us | Publishing
  • Contact us
  • Crypto News – Press release
  • Newsletter sign up
  • Markets
  • Altcoins
  • Bitcoin
  • Crypto News
  • DeFi
  • Ethereum
  • Technology
  • Blockchain
  • AI
  • NFT
  • Thanks for joining us
© 2025 Crypto Observer. All Rights Reserved.

Type above and press Enter to search. Press Esc to cancel.