Robinhood Brings US Stock and ETF Tokens to Europe

Robinhood is extending its U.S. stock/token offerings to its customers in Europe.

The financial platform announced Monday (June 30) that it was launching U.S. stock and exchange-traded fund (ETF) tokens in the European Union, giving eligible customers exposure to U.S. equities with Robinhood stock tokens.

“With tokenized stocks, our European app transitions from being a crypto-only app to an all-in-one investment app powered by crypto,” the company said in a news release.

The release adds that the offering gives European customers access to more than 200 U.S. stock and ETF tokens, with stock token holders receiving dividend payments directly in their app.

“Crypto was built by engineers for engineers, and has not been accessible to most people,” said Johann Kerbrat, GM and SVP of Robinhood Crypto.

“We’re onboarding the world to crypto by making it as easy to use as possible—with the goal of bringing powerful tools into one intuitive platform.”

According to the release, stock tokens will initially be issued on Arbitrum, but eventually will be facilitated by Robinhood’s Layer 2 blockchain, based on Arbitrum. Now in development, the Robinhood blockchain “will be optimized for tokenized real-world assets and built to support 24/7 trading, seamless bridging, and self-custody,” the company said.

PYMNTS explored this topic earlier in the month in an interview with Brett McLain, head of payments and blockchain at crypto exchange Kraken.

“The tokenization of real-world assets [has] long been a holy grail for crypto… making those real-world assets more accessible globally to consumers,” McLain said. “We want to see that grow into other things like real estate and other tangible assets.”

The move toward tangible asset tokenization, that report added, could provide liquidity to illiquid markets, assuming the credibility and infrastructure needed to make that dream a reality exists.

The new stock and ETF offerings are part of a wave of new products from Robinhood this month. The company also recently introduced tools for traders such as charting capabilities on mobile and options simulated returns pre-trade.

“Active traders want fast, intuitive tools that keep them at the cutting edge, whether they’re at home or on the go,” Abhishek Fatehpuria, vice president of brokerage product at Robinhood, said in a news release.

“With Robinhood Legend charts on mobile and simulated returns directly on the mobile options chain, we’re giving customers the power to meticulously analyze their trading strategies and act in real time.”