Florida Investigates Robinhood Crypto Over ’Low-Cost’ Marketing Claims

Florida Attorney General James Uthmeier has launched a probe into Robinhood Crypto, alleging deceptive marketing practices. The investigation centers on claims that the platform misled users by promoting itself as the cheapest option for digital asset transactions. A subpoena has been issued for internal documents, pricing data, and marketing materials.

"Transparency is non-negotiable in crypto transactions," Uthmeier stated. The investigation will determine if Robinhood violated Florida's Deceptive and Unfair Trade Practices Act. The platform's zero-commission model faces scrutiny over its revenue from payment for order flow (PFOF), where trades are routed to third-party market makers.

Crypto's role in Florida's financial ecosystem remains pivotal. The investigation coincides with growing regulatory focus on trade execution practices across brokerage platforms.