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Robinhood (HOOD) Expands Crypto Services with Arbitrum (ARB) Layer-2, Tokenized Stocks, and ETH & SOL Staking | Flash News Detail | Blockchain.News
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7/2/2025 11:36:00 PM

Robinhood (HOOD) Expands Crypto Services with Arbitrum (ARB) Layer-2, Tokenized Stocks, and ETH & SOL Staking

Robinhood (HOOD) Expands Crypto Services with Arbitrum (ARB) Layer-2, Tokenized Stocks, and ETH & SOL Staking

According to @TO, digital brokerage Robinhood (HOOD) is significantly expanding its crypto offerings with several key initiatives. The firm announced it is developing its own Layer-2 blockchain using Arbitrum (ARB) technology, specifically designed for tokenized assets to enable 24/7 trading and self-custody. For European users, Robinhood has launched tokenized stock trading on Arbitrum, offering access to over 200 U.S. equities and ETFs. Additionally, the company is introducing perpetual futures for its European customers through its recent acquisition of the Bitstamp exchange. In the U.S., Robinhood has rolled out a crypto staking service, initially supporting Ethereum (ETH) and Solana (SOL). Robinhood CEO Vlad Tenev stated these moves are intended to lay the groundwork for "crypto to become the backbone of the global financial system." This strategic push into the asset tokenization market, which a Ripple and BCG report projected could reach $18.9 trillion by 2033, positions Robinhood to directly compete with major crypto exchanges.

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Analysis

Digital brokerage Robinhood (HOOD) has unveiled a significant strategic pivot deeper into the cryptocurrency space, announcing a suite of new products aimed at bridging traditional finance with blockchain technology. The firm confirmed on Monday its development of a proprietary Layer-2 blockchain built on the Arbitrum technology stack, the launch of tokenized stock trading for European users, and the introduction of crypto staking services in the U.S. This multi-faceted expansion underscores a powerful trend where established financial players are not just participating in the crypto market but actively building its future infrastructure. For traders, this signals a potential new wave of liquidity and accessibility, directly impacting key assets like Ethereum (ETH), Solana (SOL), and the broader Layer-2 ecosystem.



Robinhood's On-Chain Ambitions and Market Impact


The centerpiece of Robinhood's announcement is its plan to build its own Layer-2 network, a move that positions the company to become a central hub for tokenized assets. According to a statement from Chairman and CEO Vlad Tenev, these offerings are laying the groundwork for crypto to become the "backbone of the global financial system." This isn't just rhetoric; the decision to build on Arbitrum provides a major vote of confidence for the Layer-2 solution and could catalyze significant interest in the ARB token. The market has responded positively to assets directly involved in the announcement. Ethereum (ETH), which will be available for staking to U.S. customers, has shown considerable strength. The ETHUSDT pair surged nearly 6% to trade around $2,591.30, pushing towards its 24-hour high of $2,615.26 on robust volume. The ETHBTC pair also climbed over 3.5% to 0.02358, indicating ETH is outperforming Bitcoin, which itself saw a 2.26% rise to $109,276.13.



Staking and Tokenization Fueling SOL and ETH Rally


The introduction of staking for both Ethereum (ETH) and Solana (SOL) for U.S. users is a critical development. Staking directly reduces the available supply of tokens on the open market, which can create upward price pressure if demand remains constant or increases. Solana has reacted strongly to the news, with the SOLUSDT pair climbing over 4% to $155.32, recovering from a 24-hour low of $147.41. The SOLBTC pair also saw a healthy gain of 3.33%, demonstrating its strength relative to the market leader. This dual-staking launch positions Robinhood to capture a significant portion of retail staking rewards, making its platform more attractive to long-term holders. Furthermore, the launch of tokenized stocks on Arbitrum for European users is a direct foray into a sector projected by a Ripple and BCG report to potentially reach $18.9 trillion by 2033. By offering 24/7 trading of over 200 U.S. equities and ETFs on-chain, Robinhood is challenging crypto-native exchanges and traditional market hours, a move that could fundamentally alter trading dynamics.



Beyond staking, Robinhood is expanding its derivatives offerings with perpetual futures for European clients, leveraging its recent $200 million acquisition of the long-standing crypto exchange Bitstamp to route these trades. This caters to more sophisticated crypto traders and puts Robinhood in direct competition with giants like Bybit and Kraken. The move to build its own tokenization engine, as confirmed by head of crypto products Seong Lee, rather than relying on third-party specialists, highlights the company's long-term commitment. This vertical integration could provide a significant competitive advantage in terms of cost and efficiency. Other assets on the platform are also showing positive momentum; XRP, for instance, has seen its XRPUSDT pair rise by 3.69% to $2.2702, testing its daily high of $2.2880. These integrated product launches, from staking and perpetuals to a credit card with crypto rewards, are designed to create a sticky, all-in-one financial application powered by crypto, potentially driving sustained user growth and trading volume across its listed assets.

trevor.btc

@TO

GP, Pizza Ninjas co-founder and host of The Ordinal Show, brings Web3 insights through Ninjalerts and NFT Now.

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