Robinhood has announced the launch of its own blockchain network based on Arbitrum, providing European investors with the ability to trade tokenized stocks 24/7 without commissions. This event could significantly change traditional trading.
Technological revolution in financial markets
Robinhood has launched its layer 2 blockchain on Arbitrum, allowing European investors to access over 200 American stocks and ETFs in tokenized form. This innovation has the potential to change the game in financial markets. Following the announcement, Robinhood's stock surged 11.25%, reaching an all-time high of $92.37, illustrating investors' confidence in the company's strategy. With the MiCA license, Robinhood can now operate in 27 European countries, providing a solid regulatory framework for its blockchain ambitions.
Robinhood's global crypto strategy
The launch of Robinhood's blockchain is part of an international expansion strategy that began with the acquisition of Bitstamp for $200 million last June. This acquisition, focused on regulated and institutional crypto markets, announced a transition toward more integrated and tokenized finance. Analysts have noted these changes and raised their price targets. For example, Ed Engel at Compass Point increased his price target from $64 to $96 based on expected revenue growth from margin trading.
Growth of the tokenized asset market and competition
Robinhood is also diversifying its offerings with perpetual futures contracts providing leverage up to 3x in partnership with Bitstamp, aiming to attract both small and experienced traders. The tokenized real-world assets (RWA) market has already reached $24 billion, while tokenized stocks only represent about $400 million, demonstrating significant growth potential. However, Robinhood is not the only player in this space. Gemini offers tokenized MicroStrategy shares, and Kraken is developing its own platform on Solana for European investors, indicating substantial changes in market structure.
Tokenization is becoming a strategic tool rather than just a technological gamble. For Europe and global markets, this movement is already underway, and Robinhood is on the front lines of this transformation.
