Robinhood Expands Tokenization Efforts with EU Stock Tokens on Layer-2 Blockchain
June 30, 2025 — By Sam Bourgi
Robinhood is accelerating its initiative to bring real-world assets (RWAs) onto the blockchain, unveiling a new layer-2 blockchain solution for stock tokenization targeted at European investors. The digital brokerage has launched a tokenized stock trading platform on the Arbitrum blockchain, enabling users within the European Union to trade tokenized versions of more than 200 U.S. stocks and exchange-traded funds (ETFs).
Leveraging Arbitrum for Tokenized Securities
Built on Arbitrum—a popular Ethereum layer-2 scaling solution—Robinhood’s new network facilitates the issuance and trading of tokenized securities with several key advantages. Token holders can trade these stock tokens commission-free, with trading available around the clock for five days a week. This approach aims to provide European investors seamless and cost-efficient access to U.S. equity markets through blockchain technology.
Additional Offerings: Perpetual Futures Trading
In addition to tokenized stocks, Robinhood has introduced perpetual futures trading products in Europe. Eligible traders can access derivatives with leverage of up to three times, and these trades will be executed via Bitstamp, a cryptocurrency exchange recently acquired by Robinhood for $200 million. This move further strengthens Robinhood’s presence in the European crypto and trading ecosystem by integrating traditional financial instruments with blockchain infrastructure.
Growing Competition in European Tokenized Shares Market
Robinhood’s entry into European stock tokenization marks an intensifying competition among exchanges offering tokenized shares. Gemini, a notable competitor, has already provided tokenized versions of specific stocks, such as MicroStrategy (MSTR), which lets investors gain exposure to Bitcoin-related assets through equity tokenization.
Robinhood’s Broader Crypto Expansion and Regulatory Engagement
This announcement follows several recent Robinhood initiatives to deepen its crypto and tokenization footprint:
- Launching micro futures contracts for cryptocurrencies such as Bitcoin (BTC), XRP, and Solana (SOL), making derivative products accessible with lower capital requirements.
- Acquiring the Canadian crypto firm WonderFi for $179 million to expand North American crypto offerings.
- Advocating for comprehensive and sensible U.S. regulatory frameworks for tokenized RWAs. Robinhood recently submitted a proposal to the U.S. Securities and Exchange Commission (SEC) outlining plans for a national framework centered on real-world assets. As part of this vision, Robinhood intends to launch the Real World Asset Exchange, which will support off-chain trading with on-chain settlement.
The RWA Market Landscape
The real-world asset tokenization market has seen significant growth, surpassing $24 billion in total value as of June 2025, according to RedStone research data. However, tokenized stocks still make up a relatively small share, with valuations under $400 million. Robinhood’s move to provide large-scale access to tokenized U.S. equities for European investors could contribute to expanding this market segment.
Outlook
Robinhood’s introduction of a layer-2 blockchain for tokenized stocks and futures marks a significant step in the evolution of digital asset trading, blending traditional financial instruments with blockchain’s efficiencies. By providing commission-free, nearly round-the-clock trading access to U.S. stocks in the European Union, Robinhood is poised to offer investors a novel way to engage with global markets. As regulatory clarity and adoption grow, tokenization initiatives such as Robinhood’s may play a pivotal role in democratizing access to financial assets worldwide.
Source: Robinhood official announcements and Cointelegraph reports