TLDR:
- Robinhood plans to offer tokenized US securities to European retail investors
- The company is considering either Solana or Arbitrum blockchains for this platform
- Robinhood recently obtained a brokerage license in Lithuania to operate across the EU
- The company is also acquiring crypto exchange Bitstamp to expand its European services
- CEO Vlad Tenev believes tokenized securities can boost US company dominance globally
Robinhood, the popular financial services firm, is developing a blockchain-based platform that will allow European retail investors to trade tokenized US securities. According to multiple reports, the company is evaluating both Solana and Arbitrum as potential blockchain solutions for this new offering.
The move comes as Robinhood seeks to expand its footprint in the European market. The company recently obtained a brokerage license in Lithuania, which will enable it to offer stock trading and investment services across the European Union.
This platform would bridge the gap between European investors and US securities markets. By tokenizing US stocks, Robinhood aims to provide EU-based users with easier access to American markets.
“I think tokenized securities can really push forward US company dominance in the global market,” said Robinhood CEO Vlad Tenev. “Right now, it’s very hard to invest in a US company if you’re overseas.”
The project is still in the development phase. A final agreement remains under wraps, and no decision has been made regarding the technology partner or launch timeline.
Benefits of Blockchain Securities
The blockchain-based infrastructure would offer several advantages over traditional trading systems. These include near-instant settlement, reduced costs, and increased transparency throughout the trading process.
Tokenized securities would also enable 24/7 trading capabilities. This would provide deeper market liquidity and more flexibility for European investors wanting to access US markets.
The system would operate under the EU’s Markets in Crypto-Assets (MiCA) regulation. This regulatory clarity might encourage institutional investors who have been hesitant to enter the crypto space.
Market Impact and Strategic Moves
Robinhood’s plans align with its recent positive financial performance. The company reported strong earnings in Q1 2025, surpassing Wall Street estimates.
In addition to obtaining a brokerage license, Robinhood is in the process of acquiring crypto exchange Bitstamp. This acquisition, which is still pending finalization, would give Robinhood access to Bitstamp’s MiFID-licensed multilateral trading facility.
This access would potentially allow Robinhood to offer crypto-linked derivatives in Europe. The strategic moves indicate Robinhood’s comprehensive approach to expanding its European services beyond just cryptocurrency trading.
Both Solana and Arbitrum stand to benefit from Robinhood’s decision. Whichever blockchain is chosen would likely see increased transaction volumes, more users, and higher fees.
Solana has already been gaining institutional interest recently. BlackRock selected the blockchain for its BUIDL money market fund, and Solana’s SOL token has been maintaining strong price levels around $140.
The choice between Arbitrum and Solana would affect various aspects of the platform. These include transaction throughput, fee structures, smart contract capabilities, and compatibility with the Ethereum Virtual Machine (EVM).
Representatives from Robinhood, Offchain Labs (Arbitrum’s developer), and the Solana Foundation have declined to comment or did not respond to inquiries about the project.
By building this blockchain-based framework for cross-border securities trading, Robinhood positions itself at the intersection of traditional finance and cryptocurrency markets. The platform represents a practical application of blockchain technology in mainstream financial services.
Robinhood’s spokesperson has declined to comment on the specifics of the project. The company appears to be carefully developing this initiative before making formal announcements.
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