Robinhood plans blockchain for US asset trading in Europe: Report

By: bitcoin ethereum news|2025/05/09 00:15:01
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Brokerage fintech Robinhood is reportedly developing a blockchain network that will enable retail investors in Europe to trade US securities. According to a May 7 Bloomberg report citing sources familiar with the matter, the move seeks to expand the company’s local presence by offering trading of tokenized securities, such as stocks. Two crypto firms, Arbitrum and the Solana Foundation, are reportedly vying to become partners in the project. Tokenization is the process of turning real-world assets, like stocks, real estate, or commodities, into digital tokens that can be traded on a blockchain. Tokenizing securities instead of providing direct exposure can offer several advantages: reduced costs by eliminating traditional financial infrastructure, enhanced accessibility, faster settlement times, and quicker transactions. More brokerages and investment firms are exploring asset tokenization. Robinhood has been preparing to enter the European market. In April 2025, it acquired a brokerage license in Lithuania that allows the firm to offer investment services throughout the European Union. Robinhood has also inked a deal in 2024 to purchase crypto exchange Bitstamp. “You can sit down in front of some software, create a coin and have it be trading in 5 minutes [...] That’s a scary thing,” Robinhood CEO Vladimir Tenev said in a recent interview. “It’s also an incredibly powerful thing if you juxtapose it with how cumbersome the IPO process is.” Robinhood shares rose 2.7% on the Nasdaq on May 7, according to Google Finance. The company’s revenue fell 8.6% in the first quarter of 2025, though it still beat Wall Street’s estimates. Bloomberg reports that no agreement has been finalized between the brokerage and either Arbitrum or Solana regarding the project, with all three parties declining to comment. More traditional financial firms are exploring blockchain-based solutions. In May 2018, Banco Santander became the first company to use a blockchain for investor voting, while US giant JP Morgan has created its blockchain platform called Onyx. Magazine: Ethereum is destroying the competition in the $16.1T TradFi tokenization race Source: https://cointelegraph.com/news/robinhood-blockchain-us-asset-trading-tokenization-europe?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound

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