Written by: BLOCKHEAD
Compiled by: Jessica, Techub News
The company announced this news at the 'To Catch a Token' event held in Cannes, France, marking a significant expansion for Robinhood in the crypto products sector and its foray into blockchain-based traditional finance.
On Monday, Robinhood announced the launch of tokenization services, allowing EU customers to trade over 200 U.S. stocks and exchange-traded funds (ETFs), including Nvidia, Apple, and Microsoft.
The core of this release is Robinhood's stock token, which offers EU customers commission-free trading of U.S. stocks, supporting 24/7 trading and dividend distribution five days a week. The new Layer 2 network built on Arbitrum will support the issuance of over 200 U.S. stock and ETF tokens, allowing European investors to access U.S. assets. According to the announcement, these tokenized stocks will initially be issued on Arbitrum but will eventually migrate to the proprietary Layer 2 blockchain being developed by Robinhood.
The company also announced a Layer 2 blockchain plan based on Ethereum, optimized for tokenizing real-world assets. This new chain, utilizing the Arbitrum tech stack, aims to support 24/7 trading of tokenized assets, self-custody, and cross-chain bridging, enabling Robinhood to compete directly with traditional financial infrastructure by implementing continuous trading outside standard market hours.
Other new products include: crypto perpetual contracts with up to 3x leverage for EU customers; Ethereum and Solana staking services for U.S. customers; and multiple feature upgrades, including an AI investment assistant named Cortex and a smart exchange routing system.
CEO Vlad Tenev positioned these initiatives as foundational for cryptocurrency becoming a 'pillar of the global financial system,' extending Robinhood's service reach to over 400 million people across 30 EU and European Economic Area countries.
Stock prices soar
The announcement triggered a strong market reaction. Robinhood shares (NASDAQ: HOOD) surged 12.7% to a historic high of $94.24 on Monday, closing at $93.63, and even reached $96.55 in after-hours trading.
As of Monday's close, Robinhood's market capitalization reached $82.63 billion, with its stock price more than doubling this year, far exceeding the IPO price of $38. The stock has maintained strong upward momentum since 2025, with a year-to-date increase of 310.84%.
The collaboration with Arbitrum also boosted the price of the blockchain's native token, which rose over 20% due to rumors before the official confirmation, ultimately stabilizing around $0.34.
This release represents Robinhood's boldest move yet in the crypto infrastructure space, potentially positioning the company as a bridge between traditional finance and decentralized systems while capitalizing on the rising trend of tokenization in financial markets.
