Robinhood Launches Stock Tokenization, Layer 2 Blockchain; Stock Hits All-Time High

Robinhood said on Monday it has launched tokens that will allow its customers in the European Union to trade more than 200 U.S. stocks and exchange-traded funds, including Nvidia, Apple and Microsoft.

The centerpiece of the launch is Robinhood Stock Tokens, which provide EU customers zero-commission access to U.S. equities with 24/5 trading availability and dividend support. Built on Arbitrum, the new layer-2 network will enable the issuance of over 200 US stock and exchange-traded fund (ETF) tokens, giving European investors access to US assets. The tokenized stocks initially launch on Arbitrum but will eventually migrate to Robinhood's proprietary Layer 2 blockchain currently in development, according to the announcement .

The company also unveiled plans for its own Ethereum-based Layer 2 blockchain optimized for tokenized real-world assets. The upcoming chain, based on the Arbitrum tech stack, is aimed to support 24/7 trading, self-custody and cross-chain bridging of tokenized assets. This positions Robinhood to compete directly with traditional financial infrastructure by enabling continuous trading outside standard market hours.

Additional product launches include crypto perpetual futures for EU customers with up to 3x leverage, crypto staking for U.S. customers starting with Ethereum and Solana, and various enhancements including an AI-powered investing assistant called Cortex and smart exchange routing.

CEO Vlad Tenev positioned the moves as foundational to crypto becoming "the backbone of the global financial system," expanding Robinhood's reach to over 400 million people across 30 EU and EEA countries.

Stock Price Surge

The announcement drove significant market reaction. Robinhood shares (Nasdaq: HOOD) jumped 12.7% to an all-time high of $94.24 on Monday before closing at $93.63, with after-hours trading reaching $96.55.

Robinhood had a market valuation of $82.63 billion as of Monday's close, with shares more than doubling in value this year and trading well above its IPO price of $38 apiece. The stock has gained significant momentum throughout 2025, with Robinhood is up 310.84% since the beginning of the year.

The partnership with Arbitrum also boosted that blockchain's native token, with ARB rallying over 20% on rumors before the official confirmation, settling around $0.34.

The launch represents Robinhood's most ambitious move yet into crypto infrastructure, potentially positioning the company as a bridge between traditional finance and decentralized systems while capitalizing on the growing tokenization trend in financial markets.