Robinhood Launches No-Fee Tokenized Stock Trading for European Users

Robinhood has introduced a new blockchain-based platform that allows European users to trade tokenized U.S. stocks and ETFs without incurring commission fees. This service, built on the Arbitrum layer-2 network, enables trading around the clock on weekdays, effectively removing the traditional barriers imposed by market hours. Through this platform, European investors gain access to over 200 tokenized equities, which closely mirror the prices of U.S. stocks and exchange-traded funds that trade in open markets. The presence on Arbitrum ensures reduced transaction fees and quicker execution of trades.

In addition to standard trading, the platform offers perpetual futures with a maximum 3x leverage. This feature allows traders to speculate on price changes without actually owning the underlying asset. All such trades are processed through Bitstamp, a company recently acquired by Robinhood in a $200 million deal. The platform also introduces self-custody features and cross-chain bridging, enabling users to hold and transfer their tokenized assets freely across different blockchain networks. This provides greater control over ownership and enhances security.

Robinhood's move positions it in direct competition with other platforms offering similar services, such as Kraken, Gemini, and Bybit. However, Robinhood's advantage lies in its intuitive user experience, user-friendliness, and solid reputation in the United States, which could benefit it in the European market. Although tokenized stocks currently represent a small part of the total global digital asset market, analysts believe that the asset market for issued tokens could reach up to 18.9 trillion by 2033, with more liquidity expected in the market.

Robinhood is also expanding its offerings in Europe, with recent additions to its crypto portfolio including ALGO, ONDO, and Sonic (S). This increased involvement in blockchain-backed financial instruments reflects the company's broader strategy to integrate traditional investing tools with blockchain technology, making investing more accessible and user-friendly. With the introduction of no-fee tokenized stock trading, Robinhood is targeting European investors seeking flexible, cost-effective access to U.S. equities. The integration of blockchain infrastructure and crypto features could reshape retail investing across the region.