Robinhood vs River — Head-to-Head Custody Comparison

An independent, data-driven comparison of Robinhood and River across security, insurance, fees, regulatory compliance, and more.

Verdict

Quick Verdict

Robinhood scores 6.9 vs River's 6.6. Robinhood leads in 3 of 8 categories.

Robinhood is better suited for Stock traders adding crypto, Fee-conscious traders, Beginners. River is better suited for Bitcoin-only investors, DCA enthusiasts, Beginners.

6.9

FairCustody Score

Robinhood

6.6

FairCustody Score

River

Scores

Score Comparison

Weighted scores across all 8 custody criteria.

Criterion	Weight	Robinhood	River	Winner
Security	20%	7.0	7.5	River
Insurance	15%	6.0	4.0	Robinhood
Regulatory	15%	8.5	7.0	Robinhood
Fee Transparency	10%	6.0	7.5	River
Track Record	15%	7.0	7.0	Tie
Withdrawal Flexibility	10%	7.5	9.0	River
Reporting & Audit	10%	8.0	6.0	Robinhood
Counterparty Diversification	5%	2.0	2.0	Tie
Overall Score	100%	6.9	6.6	Robinhood

Visual

Score Radar

Visual overlay of Robinhood and River across all categories.

RobinhoodRiver

Deep Dive

Category-by-Category Analysis

A deeper look at how each provider performs in every scoring criterion.

Security (7.0 vs 7.5)

Robinhood uses Exchange-managed custody key management with Majority cold in cold storage and regular penetration testing. Compliance: SOC 2 Type 2. Incident history: 2021 data breach (customer info, not funds). Crypto wallets added later..

River uses Proprietary cold storage key management with Majority cold in cold storage and regular penetration testing. Compliance: SOC 2. Incident history: No incidents.

Insurance (6.0 vs 4.0)

Robinhood offers SIPC for securities (NOT crypto). Crime insurance for crypto. via SIPC (securities) + crime insurance. SIPC coverage for stocks. Crypto has separate crime insurance.

River offers Not explicitly disclosed via N/A. US-regulated Bitcoin-only platform.

Regulatory (8.5 vs 7.0)

Robinhood holds NASDAQ listed (HOOD), SEC/FINRA registered (securities), State money transmitter licenses (crypto) and is a qualified custodian operating in United States. Publicly traded. SEC registered for securities. State-licensed for crypto.

River holds FinCEN MSB, State money transmitter licenses and is not a qualified custodian operating in United States. US-regulated Bitcoin financial services company.

Fee Transparency (6.0 vs 7.5)

Robinhood charges None in annual custody fees with 0% commission (spread-based ~0.4%) per transaction. Commission-free trading. Revenue from spread and payment for order flow.

River charges None in annual custody fees with 1.0-1.5% (spread) per transaction. Zero-fee recurring buys. Spread-based pricing. Free withdrawals.

Track Record (7.0 vs 7.0)

Robinhood was founded in 2013 and is headquartered in Menlo Park, CA. AUM: $130B+ in assets under custody (all assets). Incident history: 2021 data breach (customer info, not funds). Crypto wallets added later..

River was founded in 2019 and is headquartered in San Francisco, CA. AUM: Not publicly disclosed. Incident history: No incidents.

Withdrawal Flexibility (7.5 vs 9.0)

Robinhood withdrawal fees: Network fees. Minimum account: $1 minimum. Supported assets: Bitcoin, Ethereum, 20+ cryptocurrencies.

River withdrawal fees: Free Bitcoin withdrawals. Minimum account: No minimum. Supported assets: Bitcoin only.

Reporting & Audit (8.0 vs 6.0)

Robinhood: SOC compliance is SOC 2 Type 2. As a qualified custodian, it meets SEC reporting requirements.

River: SOC compliance is SOC 2. Not classified as a qualified custodian.

Counterparty Diversification (2.0 vs 2.0)

Robinhood is a exchange custody provider. Key management: Exchange-managed custody with option to withdraw crypto to external wallets..

River is a exchange custody provider. Key management: Bitcoin-only exchange with proprietary custody infrastructure..

Fees

Fee Comparison

Side-by-side fee breakdown for Robinhood and River.

Fee Type	Robinhood	River
Setup Fee	Free	Free
Annual Custody	None	None
Transaction	0% commission (spread-based ~0.4%)	1.0-1.5% (spread)
Withdrawal	Network fees	Free Bitcoin withdrawals

Robinhood: Commission-free trading. Revenue from spread and payment for order flow.

River: Zero-fee recurring buys. Spread-based pricing. Free withdrawals.

Features

Feature Comparison

Checklist of features across both providers.

Feature	Robinhood	River
23M+ funded accounts	✓	✗
Bitcoin education resources	✗	✓
Bitcoin-only focus	✗	✓
Bitstamp acquisition	✓	✗
Clean mobile interface	✓	✗
Commission-free trading	✓	✗
Crypto alongside stocks	✓	✗
Crypto wallets with withdrawals	✓	✗
Excellent mobile app	✗	✓
Free Bitcoin withdrawals	✗	✓
Lightning Network support	✗	✓
Zero-fee recurring purchases	✗	✓

Recommendation

Who Should Choose Which?

Robinhood is better if you…

✓Are a stock traders adding crypto
✓Are a fee-conscious traders
✓Are a beginners
✓Are a us retail investors
✓Want: Commission-free crypto trading
✓Want: Crypto alongside stock portfolio
✓Want: Publicly traded — transparent

River is better if you…

✓Are a bitcoin-only investors
✓Are a dca enthusiasts
✓Are a beginners
✓Are a us-based bitcoiners
✓Want: Bitcoin-only — aligned with Bitcoin ethos
✓Want: Zero-fee recurring purchases
✓Want: Free Bitcoin withdrawals

FAQ

Frequently Asked Questions

Is Robinhood or River better for Bitcoin custody?

Robinhood scores 6.9 vs 6.6 in our weighted Custody Score. Robinhood leads in 3 of 8 scoring categories. However, the best choice depends on your specific needs: Robinhood is best for Stock traders adding crypto and Fee-conscious traders, while River suits Bitcoin-only investors and DCA enthusiasts.

What is the difference between Robinhood and River?

Robinhood is a exchange custody provider, while River is a exchange custody provider. Robinhood excels in Regulatory, whereas River is strongest in Withdrawal Flexibility.

How do Robinhood and River fees compare?

Robinhood charges None annual custody fees with 0% commission (spread-based ~0.4%) transaction fees. River charges None annual custody fees with 1.0-1.5% (spread) transaction fees.

Which is more secure, Robinhood or River?

Robinhood scores 7.0/10 for security while River scores 7.5/10. Robinhood uses Exchange-managed custody key management, and River uses Proprietary cold storage.