Florida Attorney General James Uthmeier announced Thursday that his office has launched an investigation into Robinhood Crypto and issued a subpoena seeking internal documents related to the platform’s cryptocurrency trading practices.
The investigation stems from concerns that the company may have violated the Florida Deceptive and Unfair Trade Practices Act by misleading consumers about the true cost of trading digital assets on its platform.
According to an issued release, Uthmeier’s office is examining whether Robinhood falsely advertised itself as offering the lowest-cost crypto trades, despite evidence suggesting its payment for order flow model may lead to higher effective costs for users. Robinhood promotes its platform as offering the “most crypto for your money” and “lowest cost on average,” but state investigators are scrutinizing whether those representations accurately reflect the platform’s pricing structure when compared to competing exchanges.
Robinhood, which does not charge direct commissions, generates revenue by routing customer trades to third-party market makers that pay the company for the opportunity to execute those trades.
In a statement, Uthmeier linked the investigation to broader efforts to protect investors and support Florida’s growing digital asset sector.
“Crypto is a vital component of Florida’s financial future, and President Trump’s efforts to advance the crypto market will make America stronger and wealthier. When consumers buy and sell crypto assets, they deserve transparency in their transactions,” said Attorney General Uthmeier. “Robinhood has long claimed to be the best bargain, but we believe those representations were deceptive.”
The subpoena issued by the Attorney General’s office demands a range of documents, including internal marketing materials, pricing policies, communications with Florida users, and information about Robinhood’s agreements with third-party trading firms. The request also seeks data on the number of Floridians who used the platform and all trades made by those users during 2024.
Robinhood Crypto is required to comply with the subpoena by July 31.