Imagine that while you sleep, artificial intelligence monitors Bitcoin’s trends, evaluates market conditions, and buys or sells cryptocurrencies according to pre-set rules. This is precisely the future of trading that the American investment platform Robinhood aims to make accessible. It has introduced new AI agents that investors can create directly within its app. Concurrently, it is expanding its offering of cryptocurrency derivatives and preparing for continuous trading of selected US stocks.
American investment company Robinhood introduced several new features on September 29th at its HOOD Summit conference in Houston that could change how retail investors access financial markets. The greatest attention was drawn by the expansion of automated trading using artificial intelligence.
While previous tools required users to technically set up their own AI agents and then link them to an investment account, the new Robinhood Agents service significantly simplifies the entire process. Investors will be able to create an agent directly in the mobile app, give it instructions, and let it perform selected trading operations.
According to information published by Fortune magazine, customers will be able to choose between language models from OpenAI and Anthropic. Furthermore, the upcoming Loops feature will enable automatic repetition of specified investment strategies. Robinhood thus continues its effort to make tools accessible to retail investors that were previously used primarily by professional traders.
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Artificial Intelligence as a Personal Trader
The essence of the new feature lies in so-called AI agents. Unlike ordinary chatbots, which primarily answer user questions, these digital assistants can perform specific tasks. In Robinhood’s case, they can analyze financial markets, seek investment opportunities, create trading strategies, and subsequently execute transactions.
For example, an investor can instruct artificial intelligence to monitor the development of selected cryptocurrencies, evaluate market data, and, under certain conditions, execute a purchase or sale.
Through the new service, users can choose language models from OpenAI or Anthropic. Furthermore, agents can utilize specialized financial information from external providers. Robinhood’s platform offers agents access to premium data and tools from eleven partner companies.
An interesting part of the upcoming expansion is the Loops feature. This is intended to allow for long-term instructions, according to which the AI agent will repeatedly monitor markets and execute a specific strategy upon meeting predefined conditions.
Automation will thus not require the investor to constantly monitor price charts or repeatedly enter the same commands. However, by itself, it does not guarantee that executed trades will be profitable.
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Over 150,000 Investors Have Already Shown Interest in Automated Trading
For Robinhood, trading using artificial intelligence is not entirely new. The company introduced the first iteration of the service this May, allowing technically more experienced users to connect their own AI agents to their investment accounts.
In the following months, it expanded support from stocks to options and cryptocurrencies. According to information from The Wall Street Journal, over 150,000 customers have already opened accounts designated for automated trading.
The newly introduced in-app integration is intended to remove one of the main obstacles of the previous solution. Users will no longer need advanced technical knowledge or have to independently connect individual tools.
Robinhood is also implementing security mechanisms designed to allow investors to retain control over trading. By default, the AI agent will require approval for each transaction. However, users can disable this requirement and permit automatic execution of trades.
The segregation of funds is also important. The AI agent only gains access to a special account to which the investor allocates money. Thus, it cannot automatically trade with funds stored in the client’s other investment accounts.
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Robinhood Also Expands Cryptocurrency Trading
In addition to artificial intelligence, the company announced another significant new feature. It will gradually make so-called perpetual futures—term contracts without a predetermined expiration date—accessible to eligible US customers.
These financial instruments are popular among more experienced cryptocurrency traders because they allow speculating on both the rise and fall in the price of digital assets without direct ownership.
In the case of Bitcoin and Ethereum, Robinhood will offer financial leverage of up to 10:1. For some other cryptocurrencies, the initial leverage is expected to be lower, specifically threefold.
Financial leverage allows traders to control a position whose value is several times greater than their own invested funds. For example, if an investor uses tenfold leverage, they can open a position worth $10,000 with $1,000 in capital.
However, the same mechanism also multiplies potential losses. A decline in the underlying asset’s value of approximately ten percent can, under certain circumstances, mean the loss of the entire invested capital. Moreover, liquidation of a position can occur even before reaching this threshold.
Automated trading and new derivatives represent two separate innovations. Therefore, it cannot be assumed that AI agents will immediately gain access to all newly introduced leveraged products.
Another change is the planned extension of trading hours. Robinhood plans to enable trading of selected US stocks and exchange-traded funds (ETFs) on weekends as well. However, the introduction of this service is still subject to regulatory review.
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Can Artificial Intelligence Trade Better Than Humans?
While automated trading brings new opportunities, it also raises the question of how much investors can trust artificial intelligence’s decision-making.
The biggest advantage of automated systems is their ability to continuously process vast amounts of data and react to predefined situations. This can be particularly attractive in cryptocurrency markets, which operate 24/7 and where significant price movements can occur within minutes.
However, artificial intelligence cannot reliably predict future market developments. Its decision-making depends on available information, the quality of given instructions, and the ability to correctly assess the current situation.
This is precisely where one of the main risks emerges. If an AI agent incorrectly interprets market information or misunderstands an investor’s instruction, it can automatically execute an unfavorable transaction. Furthermore, in the case of repeated trading, potential errors can quickly multiply.
US regulators also warn of similar dangers. The US Securities and Exchange Commission (SEC), in a joint investor alert with other institutions, warns against relying solely on information generated by artificial intelligence. These can be inaccurate, incomplete, or entirely fabricated.
Robinhood itself admits that its AI agents can make mistakes and achieve poor results under unfavorable market conditions. However, responsibility for executed trades remains with investors.
What Does This Development Mean for European Investors?
Robinhood’s new features are currently primarily aimed at eligible customers in the United States. Therefore, Czech investors cannot automatically be assumed to have access to all the services introduced. The availability of individual products varies by country and local regulatory requirements.
However, Robinhood is gradually expanding its European offerings. For instance, in July this year, it announced further international expansion plans, including the development of cryptocurrency trading, tokenized assets, and decentralized financial services.
In the long term, the direction investment platforms are taking is particularly important. Artificial intelligence is gradually shifting from simply providing information to independently executing specific financial operations.
For retail investors, this can mean easier access to advanced analytical tools and automated strategies. At the same time, however, there is a risk that the availability of these technologies will encourage active trading among users who lack sufficient experience in managing investment risk.
Therefore, what will be crucial is not only what technologies investment platforms offer, but also how investors will use them. Automation can facilitate trading itself, but it does not eliminate its risks.
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