If you want to read that in the most favourable light, perhaps that's more AML/CTF regs. You can't be laundering money or funding terrorism until you try and get cash _out_ of your account.

But like others are saying, there's ample evidence that Robinhood are despicable, so they sure as hell don't deserve and favourable interpretations of their trashier policies...

Obfuscating how the money enters the system and is transferred is a crucial part of laundering, so I'd disagree that laundering only happens upon withdrawal.

”Weird”. It’s an intentional UX design/friction thing. Hopefully their lawyers signed off on the interpretation of anti-money laundering laws is that they don’t count until the user tries to withdraw money.

Yes, that was the subtext of my choice of words.