- Robinhood’s Arbitrum blockchain enables 24/7 tokenized US stock trading in Europe.
- European users access over 200 tokenized US equities and ETFs with zero commission fees.
- Robinhood adds perpetual swaps and crypto staking, expanding its digital asset offerings.
Robinhood, the digital brokerage firm, is diversifying its cryptocurrency services through the launch of a blockchain network powered by Arbitrum and tokenized stock trading to European customers. The ultimate goal of this initiative is to make the company a comprehensive investment platform enabling 24/7 trading capabilities, self-custody, and cross-chain asset bridging on blockchain infrastructure.
Arbitrum Network Powers Robinhood’s Tokenized Asset Platform
Robinhood announced that it will create a layer-2 blockchain network based on Arbitrum technology. The new blockchain will enable its European investors to invest in more than 200 U.S. equities and ETFs using tokenized stock. The tokens are issued on the Arbitrum layer-2 of Ethereum, which offers fast and low-cost transactions.
The new service targets European users and will offer them the ability to trade tokenized stocks 24/7 during weekdays without incurring commission charges. This is expected to make the company, which already has a crypto-dedicated app in the EU, a comprehensive investment platform bridging the gap between traditional and digital finance.
According to the company, the upcoming blockchain will enable seamless trading and features like self-custody and cross-chain bridging for various tokenized assets. Sources close to the project suggest a possible launch date later this year or early next year.
Tokenized Stocks and Derivatives Broaden Investment Access
With the recent news, the company joins the ranks of the first companies to offer tokenized stocks to European retail investors. The company will launch tokenized shares and ETFs, and trading will occur on a secure and scalable platform on the Arbitrum network. European clients can now access U.S. markets in a new way, benefiting from real-time settlement and blockchain transparency.
The brokerage has also launched perpetual swaps to European users, allowing access to respective crypto derivatives with leverage. These transactions are processed through Bitstamp, a major crypto exchange acquired by Robinhood for $200 million. Meanwhile, the company’s users in the U.S. can access crypto staking, beginning with Ethereum and Solana, allowing them to earn rewards directly through the Robinhood app.
Also Read | Robinhood Expands Crypto Futures Offering with Micro Contracts for XRP, Solana, and Bitcoin
Robinhood’s Crypto Push Sparks Activity in Tokenization Sector
Robinhood’s push into tokenized assets reflects a wider trend among digital brokers and exchanges. The company joins competitors such as Bybit, Kraken, and Gemini in offering stock tokens to European users. Asset tokenization is attracting major interest as it promises lower settlement costs, enhanced liquidity, and 24/7 global trading. According to a Ripple and BCG report, the tokenized asset market could reach $18.9 trillion by 2033.
The influence of the Arbitrum integration on the company is already reflected on the market. After the company solidified its fireside chat in Cannes and the announcement of its blockchain plans, its native token ARB skyrocketed by 19%.
On-chain metrics revealed a spike in daily active addresses, decentralized exchange volume, and total value locked. Major players also transferred large amounts of ARB, and this indicated institutional interest before the company’s launch.
Also Read | Arbitrum Jumps 19% on Robinhood Speculation, Eyes $0.4289 Breakout Next
