In a significant move for the cryptocurrency industry, Robinhood has announced a suite of new products aimed at enhancing accessibility and functionality for investors globally. The company is introducing stock tokens for EU customers, developing a new Layer 2 blockchain, and expanding its offerings with perpetual futures and staking services.
Stock Tokens and Layer 2 Blockchain
Robinhood is launching stock tokens in the European Union, allowing eligible customers to invest in U.S. stocks and ETFs with zero commission and no additional spreads, though other fees may apply. This service supports dividends and operates 24/5, providing continuous access to markets.
Through tokenization, Robinhood's European app is evolving from a crypto-only platform into a comprehensive investment application powered by cryptocurrency. Customers can trade over 200 U.S. stocks and ETF tokens, with dividends paid directly into their accounts.
Initially, these tokens will be issued on Arbitrum, but future tokenized stocks will be supported by Robinhood's own Layer 2 blockchain, currently under development. This blockchain is optimized for tokenizing real-world assets and will feature 24/7 trading, seamless bridging, and self-custody capabilities.
👉 Explore more about tokenized assets
Perpetual Futures for EU Traders
Robinhood is introducing perpetual futures for cryptocurrency in the EU, offering eligible clients exposure with up to 3x leverage. These derivatives are designed to provide continuous market access without expiration dates. The interface simplifies position sizing and margin management, reducing the complexity often associated with perpetual contracts. Orders will be routed through Bitstamp's perpetual exchange, with a full rollout expected by late summer.
Crypto Staking in the U.S.
Eligible U.S. customers will soon have access to crypto staking, starting with Ethereum and Solana. This feature allows users to contribute to network operations and earn competitive returns through a user-friendly interface. Staking is already available for all EU and European Economic Area (EEA) customers on Robinhood.
Enhanced Product Suite
Robinhood is rolling out several additional features to make cryptocurrency trading more powerful and seamless:
- Instant Crypto Deposit Boost: For a limited time, U.S. and EU investors can transfer crypto into Robinhood and receive a 2% boost on their deposits.
- Crypto Credit Card Rewards: The Robinhood Gold Credit Card offers cashback on all purchases for U.S. customers. Starting this fall, rewards can be used to automatically buy cryptocurrency.
- Cortex Crypto: An AI-powered investment assistant providing insights, trends, and event-driven market analysis for each token. Available later this year for Robinhood Gold members.
- Smart Exchange Routing: Evaluates multiple exchanges to find the best prices for orders. Volume-based fee tiers will soon apply, offering lower rates for higher trading volumes over the past 30 days. API support is coming.
- Tax Lot Tracking: U.S. customers can now view and sell specific tax lots for crypto transactions, enabling strategic decision-making.
- Advanced Charts: Robinhood Legend’s advanced charting tools are coming to mobile devices, starting with stocks and expanding to cryptocurrencies in August.
Frequently Asked Questions
What are Robinhood stock tokens?
Robinhood stock tokens are digital representations of U.S. stocks and ETFs, allowing EU customers to invest with zero commission and receive dividends directly.
How does crypto staking work on Robinhood?
Staking lets users participate in blockchain network operations by holding certain cryptocurrencies, earning rewards for helping secure the network. It's available for EU/EEA customers and coming soon to the U.S.
What are perpetual futures?
Perpetual futures are derivatives contracts without an expiration date, providing continuous exposure to crypto assets with leverage. They will be available to eligible EU customers.
Is there a risk with tokenized stocks?
Yes, investing in tokenized stocks and perpetual futures involves significant risk and may not be suitable for all investors. Consider your experience and financial situation carefully.
How do I get the deposit boost?
During the promotional period, transferring crypto from an external address to your Robinhood account qualifies you for a 2% boost on net deposits, paid in cash (U.S.) or crypto (EU).
What is Robinhood’s Layer 2 blockchain?
It’s a custom blockchain based on Arbitrum, designed for tokenizing real-world assets and supporting 24/7 trading, bridging, and self-custody.
Key Considerations
All investments carry risks, including the potential loss of principal. Services and eligibility vary by region. Crypto assets held with Robinhood Crypto are not FDIC or SIPC insured. Product availability is subject to regulatory approvals and terms.
Robinhood continues to innovate, aiming to make investing more accessible and intuitive for the next generation of traders. With these expansions, the platform is bridging traditional finance and digital assets, offering tools for a broader range of financial activities.