Robinhood Brings U.S. Stocks On-Chain In Europe, Intensifies Brokerage Competition

Robinhood has made a significant move by bringing U.S. stocks on-chain in Europe, marking a potential shift in the future of Wall Street. The company announced that it would allow customers in the European Union to trade U.S. stocks and ETFs on a blockchain, introducing what they call Robinhood Stock Tokens. This initiative enables European users to access over 200 U.S. stocks and ETFs, including major companies like Apple, Microsoft, and NVIDIA, with zero commissions and 24/5 trading access. This expansion intensifies competition in the European brokerage space, where platforms offer U.S. stock trading with transparent pricing. Robinhood's zero-commission tokenized approach represents a fundamentally different strategy that could reshape the competitive landscape.

The move to tokenize traditional securities is unprecedented, providing European investors with 24/5 trading access to U.S. markets and direct dividend payments through their app. This transition from a crypto-only app to an all-in-one investment app powered by crypto sets the stage for further innovations. Building on this tokenized infrastructure, Robinhood launched tokenized shares of OpenAI and SpaceX, marking the first time the company has tokenized private companies. This strategic move allows everyday investors to access companies that were previously reserved for ultra-wealthy investors and insiders.

The technology behind this revolution includes Robinhood's new blockchain infrastructure. Stock tokens will initially be issued on Arbitrum, with plans to facilitate tokenized stocks through their own Layer 2 blockchain. This blockchain is optimized for tokenized real-world assets and supports 24/7 trading, seamless bridging, and self-custody. The comprehensive product expansion revealed at the Cannes presentation includes over 200 tokenized U.S. stocks and ETFs with zero commissions, crypto perpetual futures with up to 3x leverage, and 24/5 trading access with plans for 24/7 trading. For U.S. users, the expansion includes crypto staking for Ethereum and Solana, advanced charts, tax lot management, and smart exchange routing.

The competition between Robinhood and Coinbase has intensified, with both companies racing to bring traditional assets on-chain. Robinhood's strategic pivot toward embracing blockchain technology for traditional securities includes enhanced transaction settlement, improved price discovery, and smart contract programmability. The financial performance gap shows that while Coinhood currently dominates in volume, Robinhood's growth rate suggests they are catching up fast.

Robinhood's Gold Card offers 3% cash back on all categories, exclusively for Robinhood Gold members. Coming this fall, customers can use those rewards to purchase crypto automatically, creating a seamless bridge between traditional spending and crypto investment. The strategic decision to launch in Europe first is not just about regulatory convenience but about proving the model works. The EU's more flexible regulatory environment allows anyone who qualifies to trade stock tokens to access them, unlike the U.S. market, which has stricter accredited investor restrictions.

The broader implications of Robinhood's move go beyond just offering new investment products. They are fundamentally challenging the traditional gatekeeping mechanisms that have kept retail investors out of the most promising private companies. The Robinhood blockchain will be optimized for tokenized real-world assets and built to support 24/7 trading, seamless bridging, and self-custody. This isn't just about competing with existing crypto exchanges—it's about building the rails for a new financial system.

The long-term vision of Robinhood is to create a tokenized, global, and accessible 24/7 financial ecosystem. Their "To Catch a Token" presentation was a declaration of intent to become the infrastructure layer for democratized finance. With tokenized private companies, their own blockchain network, and a credit card that seamlessly bridges traditional spending with crypto investment, Robinhood is building something unprecedented: a truly unified financial platform for the digital age. The race between Robinhood and Coinbase is not just about market share but about who will define how the next generation invests, trades, and thinks about money. As the financial world rapidly evolves toward tokenization and blockchain-based infrastructure, both companies are positioning themselves as the gateway for mainstream adoption. The winner of this competition may well determine the structure of finance for decades to come.