Your Robinhood account might be restricted for a number of reasons, including the following:
Investment limit reached: Customers are subject to a net purchase limit on restricted coins within a rolling 12-month window. Restrictions apply if you reach the following caps based on your investor tier:
- Basic/Enhanced: $5,000*
- Retail: $30,000
- Eligible: $100,000
*limit applies to all coins
Failed compliance requirements: Accounts may be placed in a read-only or withdrawal-only state if you fail to complete mandatory regulatory steps, such as:
- Failing the Identity Verification (IDV) or KYC re-verification process
- Failing to complete the appropriateness questionnaire
Incorrect Information: Your account may be restricted if personal information is found to be incorrect, outdated, or if there are active fraud inquiries.
Regulatory & security risks:
- International travel: Access is prohibited from specific restricted jurisdictions (e.g., North Korea, Iran, Russia, Syria). Attempting to log in from these locations can lead to an account restriction. Review Travelling with Robinhood for details.
- Security threats: If unauthorized activity is suspected or if a device is reported lost or stolen, Robinhood may freeze the account to protect assets.
- Illegal activity: Transactions linked to potentially illegal activities or those that violate the Canada Client Account Agreement will result in restrictions.
Asset-specific restrictions:
- Trading halts: A specific asset may be restricted if there is a trading halt.
- Position limits: You have reached the maximum allowed net annual purchase limit for a specific coin.