Robinhood CEO Advocates for Tokenized Stocks to Prevent Trading Freezes
Robinhood CEO Vlad Tenev has proposed that tokenized stocks could prevent future trading halts like the 2021 GameStop incident. The freeze, which sparked widespread backlash, was attributed to outdated financial infrastructure and slow settlement processes. Blockchain technology, Tenev argues, could enable real-time trading and eliminate delays.
Robinhood has already minted nearly 2,000 tokenized versions of U.S. stocks and ETFs, totaling $17 million in value. Tenev is urging lawmakers to pass the CLARITY Act to facilitate tokenized equities and instant settlement in U.S. markets. The MOVE could modernize trading infrastructure and reduce systemic risks.