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Robinhood Tokenizes Stocks and Launches Blockchain

Tokenization | July 3, 2025

Freepik Tokenization of equities

Image: Freepik

Robinhood Opens Tokenized Equity Trading, Staking, and Futures Access While Building a New Digital Assets Blockchain

On June 30, 2025, Robinhood announced a major expansion into tokenized assets and crypto infrastructure during an event in Cannes. The company’s official release detailed its launch of tokenized U.S. equities for EU users, new staking and derivatives products, and the development of a proprietary Layer 2 blockchain designed to support real world asset (RWA) tokenization.  It's a clear pivot and global crypto strategy that could define the future of hybrid investing platforms.

Tokenized stocks and ETFs in the EU

Robinhood will allow European Economic Area (EEA) users to buy and sell tokenized versions of over 200 U.S. stocks and ETFs. These digital assets come with no commission, no spread, and include dividend payments, mirroring their traditional equivalents while trading continuously during the week. The tokens are initially issued on Arbitrum but will transition to Robinhood’s newly announced Layer 2 blockchain, which is being developed specifically to support RWA tokenization, self-custody wallets, and instant settlement.

See:  Robinhood Acquires WonderFi for C$250M

The EU rollout aims to open access to U.S. equities for hundreds of millions of crypto-enabled users. The goal is to create a multi-asset investment experience that spans stocks, ETFs, and digital currencies all on one unified platform.

Crypto Staking and Perpetual Futures

Robinhood’s expansion also includes the launch of crypto perpetual futures contracts for Bitcoin and Ethereum. These will be offered with up to 3× leverage across eligible EU users, with order routing handled through Bitstamp’s regulated platform. At the same time, Robinhood has introduced staking support for Ethereum and Solana. Staking is already live in the EU and will expand to U.S. users where legally permitted.

Robinhood is also offering deposit incentives, including bonuses of up to 2% on incoming crypto transfers, with the company targeting up to $500 million in new crypto inflows.

Launch of Proprietary Layer 2 Blockchain

Robinhood confirmed that it is building its own Layer 2 blockchain. The network will enable fractional ownership of stocks and ETFs, wallet-native asset recovery, smart contract interoperability, and real time cross-chain bridging. It will also provide the infrastructure for on-chain settlement of financial instruments such as tokenized equities and derivatives.  Having it's own blockchain will reduce dependence on third parties while positioning Robinhood to eventually become the protocol layer for its own assets and services, including digital custody and regulated RWA trading.

Rewards, AI, and Advanced Crypto Tools

Robinhood also launched a crypto rewards credit card, allowing users to automatically convert cashback into digital currencies. In addition, the company now lets users choose which crypto or stock purchases to sell first for tax purposes, smart order routing, and high frequency charts designed to support more active traders.  A new AI assistant called Cortex is being integrated into the app, offering personalized alerts, market trend recognition, and portfolio analysis for premium users.

See:  Robinhood’s WealthTech Push and Lifestyle Finance

All of these updates are part of Robinhood’s broader strategy to become a comprehensive investing ecosystem that spans traditional equities, digital assets, and blockchain infrastructure.

Why This Matters

Robinhood’s stock rose by more than 12% following the announcement. As reported by MarketWatch, the SEC also sent market signals that may be interpreted as supportive.  Robinhood has taken advantage of the EU's open approach towards digital finance and pilot models that aren't yet permitted in Canada, raising an important question:  if tokenized equities are safe and functional for the EU, what regulatory barriers continue to hold back innovation in Canada?


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