Robinhood Chain Testnet Launches: Enabling 24/7 Trading with Tokenized Assets

Robinhood Chain Testnet Launches: Enabling <24/7 Trading> with Tokenized Assets

Robinhood is making big moves in the crypto world. Its new blockchain, called , is now live on testnet. This step brings the company closer to offering <24/7 trading> for tokenized assets and cryptocurrencies. Tokenized assets are real-world items like stocks or property turned into digital tokens on the blockchain. This could change how we trade forever.

What is and Why Does It Matter?

is a custom blockchain built for financial apps. It focuses on trading tokenized assets. The testnet lets developers test its features before the full mainnet launch. This helps make the network strong and safe.

Robinhood partners with top blockchain firms for this project:

• Alchemy: A platform for Web3 development.
• Chainlink: Provides blockchain oracles for real-world data.
• LayerZero: Helps different blockchains talk to each other.
• TRM Labs: Offers tools for blockchain security and tracking.

Johann Kerbrat, Robinhood Crypto’s General Manager, said this testnet sets up an ecosystem for tokenized real-world assets (RWAs). It connects builders to DeFi liquidity on Ethereum. DeFi means decentralized finance, where you trade without banks.

Key Features of

The blockchain is not just for simple trades. It supports advanced financial tools like:

• Lending: Borrow and lend assets on-chain.
• Perpetual exchanges: Trade contracts that never expire.
• Tokenized stocks and ETFs: Already live for EU users.

Built on , an Ethereum Layer 2 chain, it offers fast and cheap transactions. Arbitrum makes Ethereum scalable for big apps.

Robinhood is putting $1 million into Arbitrum’s 2026 Open House event. This boosts developer activity on the network.

Steven Goldfeder, CEO of Offchain Labs (Arbitrum’s developer), praised it. He said uses Arbitrum’s tech to push tokenization and open financial services forward.

The Push for <24/7 Trading>

Robinhood wants trading that never stops. Traditional markets close on weekends and nights. But crypto trades 24/7. Tokenization makes this possible for stocks too.

CEO Vlad Tenev talked about this recently. He pointed to the 2021 GameStop frenzy. Brokers halted trades due to old systems. Tokenization fixes that with instant settlement and <24/7 trading>. No more halts or delays.

In the EU, Robinhood already offers tokenized U.S. stocks and ETFs with 24/5 trading. The testnet is the next step for global rollout.

Background: From Announcement to Testnet

Robinhood first shared plans for in June last year. It came with tokenized stock offerings for EU customers on Arbitrum. Now, the testnet lets devs build and test apps. This ensures everything works smoothly on mainnet.

Why Tokenized Assets Are the Future

Tokenization turns any asset into a blockchain token. This brings benefits like:

1. Speed: Trades settle in seconds, not days.
2. Access: Anyone with internet can trade fractions of assets.
3. 24/7 Availability: No market hours limits.
4. Lower Costs: Blockchains cut out middlemen fees.
5. Global Reach: Trade across borders easily.

Big players like BlackRock and banks are jumping in. Robinhood’s move puts it ahead in retail crypto trading.

How This Helps Everyday Traders

For Robinhood users, this means more options. Imagine trading stocks at 3 AM or lending crypto for interest. The testnet proves it works. Mainnet will bring it to millions.

It also taps into DeFi. Users can use liquidity from Ethereum pools. This mixes stock trading with crypto yields.

Challenges and What’s Next

Building a blockchain is tough. Security is key, hence partners like TRM Labs. Regulators watch closely too. Robinhood stresses compliance.

Next steps:

• Mainnet launch soon.
• More tokenized products.
• Expand <24/7 trading> worldwide.

Robinhood’s stock (HOOD) could benefit as crypto grows.

The Bigger Picture in Crypto and Finance

Tokenization is hot. It could unlock trillions in assets. Ethereum L2s like Arbitrum make it efficient. Robinhood bridges TradFi and crypto.

Other platforms like Kraken offer advanced trading. But Robinhood’s user-friendly app plus blockchain could win retail users.

Conclusion: Get Ready for a New Era

The launch is exciting. It eyes <24/7 trading> with tokenized assets. Developers can now build on it. Soon, users will trade without limits.

Stay tuned. This could reshape finance. Follow for updates on crypto news.

Keywords: Robinhood Chain, tokenized assets, 24/7 trading, Arbitrum, blockchain testnet

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