Robinhood Disrupts EU Finance: Tokenized US Stocks Now Live!
For the European Union, Robinhood (HOOD) has paved the way for stock trading around the clock. At an event in Cannes, France, the trading platform announced Monday that it had introduced US stock and ETF tokens in the European Union. Customers of Robinhood in Europe will be able to access over 200 US stocks and ETF tokens. Also, dividend payments will be made directly to Robinhood app users who own stock tokens.
Robinhood CEO: 24/7 EU Stock Trading Just Months Away With Arbitrum
With tokenized stocks, the company’s European app allows users to invest in stocks and ETFs, expanding its offerings beyond cryptocurrency. Initial distribution of stock tokens will take place on the blockchain platform Arbitrum. Robinhood stated that its layer two blockchain will soon enable tokenized equities. It claimed that the 24/7 trading would be supported by the currently under-development technology.
We believe we can get that done (24/7 trading in the EU) within the next few months. For our EU customers, at least that’s the goal. And you already have it with crypto assets. So these stock tokens powered by crypto technology will use the same underlying infrastructure. So once they’re available on Bitstamp, we believe will unlock 24/7 trading. So you’ll get the Saturdays and the holidays. And I think that would be very compelling
Robinhood co-founder and CEO Vlad Tenev
The Future of Finance: Tokenized Markets May Never Sleep Again
The process of turning a physical asset into a digital representation using blockchain technology is called tokenization. By, for instance, allowing fractional ownership of an item such as stocks, artwork, or real estate, it basically enables investors to diversify their assets.
I’ve talked about the need for 24/7 markets in the U.S for quite some time. It would be a shame for the EU to get there first. But I think the U.S. wants to catch up. We’ve been having a lot of conversations with the regulators. We think actually the SEC has the ability to make this happen. So we’re going to continue to collaborate with them to bring it to the U.S.
Tenev
For more up-to-date crypto news, you can follow Crypto Data Space.
