Robinhood has started restricting trading in cryptocurrencies just as the price of joke cryptocurrency Dogecoin has soared more than 300 percent in 24 hours. CNBC reports that Robinhood users started noticing instant deposits for cryptocurrencies were no longer working on Friday morning, and the company has confirmed it has put restrictions in place.
“Due to extraordinary market conditions, we’ve temporarily turned off Instant buying power for crypto,” says a Robinhood spokesperson in a statement to CNBC. “Customers can still use settled funds to buy crypto. We’ll keep monitoring market conditions and communicating with our customers.”
Through the “Instant Buying” feature on Robinhood, customers have instant access to funds from bank deposits and proceeds from stock transactions. Instant Buying is a paid feature that allows users to instantly settle transactions.
Dogecoin originated in 2013 off the back of a Twitter joke a play on bitcoin and the doge meme. Its price started soaring and Dogecoin currently stands at a more than $7 billion market cap thanks to a huge volume of transactions over the past 24 hours.
The market activity and restrictions over the past 24 hours have now made Dogecoin a popular meme among the WallStreetBets investors. Robinhood’s restrictions on highly volatile stocks including GameStop Corp. sparked outrage from customers and drew criticism from politicians as varied as Alexandria Ocasio-Cortez and Ted Cruz. While it was far from the only brokerage to implement trading curbs.