The era of tokenized real-world assets (RWA) is accelerating—and Robinhood is making a bold move to lead the charge. Best known for fueling the retail trading revolution during the GameStop and MEME stock frenzy, the platform is now stepping into the future of finance by launching tokenized stock trading in Europe, powered by Arbitrum. This isn’t just another crypto feature drop; it’s a full-scale financial infrastructure bet on democratizing access to private and public equities through blockchain technology.
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Robinhood Expands Into Tokenized Stocks Across the EU
On June 30, during a high-profile event at EthCC in Cannes, France, Robinhood announced the official rollout of tokenized stock trading for European users. The service initially supports over 200 U.S. equities and ETFs, including digital representations of shares in private giants like OpenAI and SpaceX. The company plans to scale this offering to thousands of assets by the end of 2025.
This launch marks a significant milestone in Robinhood’s broader strategy to become a hybrid fintech platform bridging traditional capital markets with decentralized finance (DeFi). European investors can now trade U.S. stocks on-chain—24 hours a day, five days a week—with only a 0.1% foreign exchange conversion fee, drastically reducing the cost barrier for non-U.S. investors.
Eligible Robinhood EU users can claim free private company stock tokens directly through the app until July 7, 2025. These tokens are not just symbolic—they represent real economic exposure to high-growth private firms, previously accessible only to venture capitalists and accredited investors.
Users will have two custody options: self-custody via Robinhood’s non-custodial crypto wallet, or simplified custody where Robinhood manages private keys—a balance between decentralization and ease of use tailored for mainstream adoption.
Building Robinhood Chain: A Purpose-Built L2 for RWA
Behind the scenes, Robinhood is constructing its own Layer 2 blockchain—tentatively named Robinhood Chain—specifically designed for tokenized real-world assets. Built on top of Arbitrum’s technology stack, this custom L2 aims to solve key challenges in RWA tokenization: compliance, scalability, and interoperability.
Johann Kerbrat, General Manager of Robinhood Crypto, revealed that the chain’s architecture has been in development for years, with a core mission to break down the “walled gardens” of traditional finance. By leveraging Arbitrum’s Stylus framework—which allows smart contracts in Rust and other high-performance languages—Robinhood Chain could support complex financial instruments while maintaining Ethereum-level security.
This partnership with Arbitrum is no coincidence. Multiple signals point to a deep technical integration:
- Robinhood is featured alongside Stylus on the Arbitrum Portal homepage.
- Joint appearances at major events like EthCC signal strategic alignment.
- The Robinhood Wallet already supports Arbitrum networks, enabling seamless asset bridging.
Market sentiment has responded positively. ARB, Arbitrum’s native token, surged over 25% in the week following the announcement, reflecting strong investor confidence in the project’s potential.
Strategic Moves Pave the Way for Expansion
Robinhood’s move into tokenized assets didn’t happen overnight. It’s the result of calculated steps across regulatory, technical, and market dimensions:
- Regulatory Access: In April 2025, Robinhood secured a brokerage license in Lithuania, granting it MiFID II passporting rights across the European Union.
- Acquisition Power: The $200 million acquisition of Bitstamp strengthened its European compliance infrastructure and crypto trading engine.
- Talent Investment: A now-closed job posting sought a product manager to build a multi-chain crypto architecture from scratch—confirming long-term ambitions beyond a single blockchain.
These moves position Robinhood not just as a brokerage, but as an emerging financial infrastructure player in the Web3 ecosystem.
Expanding Crypto Offerings Alongside Tokenized Stocks
Beyond tokenized equities, Robinhood unveiled a suite of new crypto-native features:
- 3x Leverage Perpetual Contracts for European users (no expiry dates).
- ETH and SOL Staking for U.S. users in compliant jurisdictions.
- A crypto rewards credit card offering cashback in digital assets.
- Robinhood Cortex, an AI-powered personal finance assistant.
- A 1% temporary bonus on crypto deposits to incentivize onboarding.
- Tax Lot Optimization, helping users minimize capital gains through strategic asset sales.
These additions reinforce Robinhood’s vision: a one-stop platform where traditional finance and crypto coexist seamlessly.
The Rise of Tokenized Securities: A New Financial Frontier
Robinhood isn’t alone in betting on tokenized stocks. The space is heating up globally:
- Kraken offers tokenized U.S. stocks in Europe, Latin America, and Africa.
- Coinbase is seeking SEC approval to launch its own tokenized stock service.
- Gemini partnered with Dinari to offer MSTR tokenization in the EU.
- Dinari became the first U.S.-based platform to receive broker-dealer registration for tokenized securities.
For retail investors, tokenization removes long-standing barriers: high minimum investments, geographic restrictions, and opaque clearing systems. It enables fractional ownership, faster settlement (T+0 vs. T+2), and 24/7 market access—all while maintaining legal rights to underlying assets.
Why RWA Matters Now
Real-world asset tokenization represents one of the most promising use cases for blockchain. According to industry estimates, the global RWA market could exceed $10 trillion by 2030. Equities are just the beginning—real estate, bonds, and even intellectual property could follow.
Robinhood CEO Vlad Tenev has been vocal about closing the investment gap between elite insiders and everyday people. In an op-ed for The Washington Post, he highlighted how companies like OpenAI and SpaceX deliver outsized returns to early private investors—returns ordinary people miss until IPOs at sky-high valuations.
“We’re living in a time when anyone can trade a MEME coin worth nothing—but can’t buy a fraction of SpaceX,” Tenev wrote. “That’s not innovation. That’s exclusion.”
He advocates for three key U.S. regulatory reforms:
- Replace wealth-based accreditation rules with knowledge- and risk-based assessments.
- Create a Securities Token Registration System for startups to raise capital without full IPOs.
- Establish clear compliance pathways for centralized and decentralized exchanges offering tokenized securities.
In May 2025, Robinhood submitted a 42-page proposal to the SEC—including a nine-page comment letter—calling for the world’s first federal regulatory framework for RWA tokenization. Notably, early plans referenced both Solana and Base as potential chains for its Robinhood RWA Exchange, suggesting a multi-chain future despite its current focus on Arbitrum.
Frequently Asked Questions (FAQ)
Q: What are tokenized stocks?
A: Tokenized stocks are blockchain-based digital representations of real shares in public or private companies. They allow investors to gain exposure to equities without going through traditional brokers, often with lower fees and faster settlement.
Q: Are tokenized stocks legal in the EU?
A: Yes. The EU has established clear regulatory frameworks—such as MiCA—that support digital asset issuance and trading, making it a favorable environment for tokenized securities.
Q: Can U.S. users trade tokenized stocks on Robinhood?
A: Not yet. The current rollout is limited to European users. U.S. availability depends on future regulatory approvals from the SEC.
Q: Is Robinhood Chain live?
A: No. Robinhood Chain is still under development. Its launch will depend on regulatory clarity and technical readiness.
Q: How does self-custody work for tokenized stocks?
A: Users store their tokens in a non-custodial wallet (like Robinhood Wallet), giving them full control over their private keys and assets—similar to holding crypto directly.
Q: Will tokenized stocks pay dividends?
A: Yes. Dividend distribution mechanisms are being designed to mirror traditional equities, ensuring token holders receive proportional payouts.
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