A blockchain-powered platform is reportedly being developed by Robinhood Markets Inc. to enable European investors to trade tokenized U.S. securities, according to information provided by Bloomberg.
The initiative is expected to include a collaboration with a digital asset firm, with blockchain infrastructures such as Arbitrum (ARB) and Solana (SOL) being evaluated for potential use, as reported by Bloomberg.
Ongoing discussions have been reported, though no final agreement has been reached. Comments were declined by both Robinhood and the involved blockchain entities.
Tokenized securities—digital equivalents of conventional financial assets—are being increasingly explored by global financial institutions as a means to lower trading infrastructure expenses and enhance transparency.
An estimated annual savings of up to $20 billion in global clearing and settlement expenses has been projected in a report by the Global Financial Markets Association through the implementation of distributed ledger technology.
Robinhood Expands Its Footprint into the European Market
The groundwork for expanded financial services in Europe has already been initiated by Robinhood. In April, a brokerage license was obtained in Lithuania by the company, providing access to the European Union’s investment market.
An agreement was also reached by Robinhood to acquire the cryptocurrency exchange Bitstamp, a move that could enable the expansion of its services to encompass crypto-linked derivatives through Bitstamp’s multilateral trading facility license.
Robinhood is being joined by major institutions including BlackRock, Franklin Templeton, and Apollo in the exploration of tokenized assets.
Since its 2023 launch, over $2 billion has been drawn to BlackRock’s tokenized fund BUIDL, reflecting increasing institutional trust in blockchain-enabled financial instruments.
