Brokerage Fintech Robinhood has been reportedly developing a blockchain network that will provide retail investors in Europe to exchange US security.
According to In a May 7 Bloomberg report citing resources familiar with the matter, the transfer aims to expand the local presence of the company by offering the trade of tokenized securities, such as stocks.
Two crypto companies, the Arbitrum and the Solana Foundation, have been reported to be standing to become project partners. Tokenization is the process of turning real-world assets, such as stocks, real estate, or goods, to digital tokens that can be exchanged with a blockchain.
Encouraging security instead of providing direct exposure can offer many advantages: reduced costs by eliminating traditional financial infrastructure, improved accessing, faster regulating time, and faster transactions. Many other brokers and investment companies explore asset tokenization.
https://www.youtube.com/watch?v=vkc5qcrvdc0
Robinhood is preparing to enter the European market. In April 2025 it gained a licer license in Lithuania that Allows the firm to offer investment services throughout the European Union. Robinhood also had ink in 2024 to buy crypto exchange bitstamp.
“You can sit in front of some software, create a coin and have it trading in 5 minutes (…) that’s a scary thing,” Robinhood CEO Vladimir Tenev said in a recent -only interview. “It is also an incompetent -believed to be a powerful thing if you jux it in how the IPO process is complicated.”
Robinhood’s sharing rose 2.7% at NASDAQ on May 7, according to Google Finance. The company Income dropped 8.6% in the first quarter of 2025Although it still beat Wall Street estimates.
Bloomberg reported that no agreement was completed between the broker and either Arbitrum or Solana about the project, with all three parties refused to comment.
More traditional financial companies are exploring blockchain -based solutions. In May 2018, Banco Santander became the first company To use a blockchain for voting of investorWhile US giant JP Morgan has Its Blockchain platform was created called onyx.
Magazine: Ethereum destroys the competition with the $ 16.1T tradfi tokenization race
