Robinhood CEO Calls on US Policymakers to Expand Tokenized Stock Access

Robinhood CEO Vlad Tenev has urged U.S. policymakers to revise securities laws and regulations to promote the use of tokenized stocks. In an X post on August 18, Tenev argued that while market participants are transitioning to blockchain-based systems, current regulations need modernization to maintain protections while improving infrastructure.

He emphasized that other countries will not wait for the U.S. to catch up, and the timely implementation of this change holds significant implications. Tokenization has gained mainstream attention in recent months, following Robinhood's introduction of these products outside the U.S. Tenev pointed to the launch of Robinhood Chain, a Layer 2 blockchain designed for real-world assets, which has processed 100 million transactions since its inception.

These Stock Tokens provide economic exposure to over 190 U.S. stocks to users in more than 120 countries, held in 1:1 proportion to the underlying shares. However, Tenev noted that Stock Tokens are currently unavailable within the U.S. itself. Tokenization offers several advantages: real-time settlement, enhanced market resilience, 24/7 trading opportunities, greater asset control, and competitive pressure on financial platforms to innovate based on price and innovation.

Tenev stressed that American investors should also reap the benefits of this innovation, as these stocks represent largely American assets and companies like Robinhood are at the forefront of such advancements. The debate surrounding stock tokens has been contentious. In June 2025, OpenAI warned on X that it does not endorse stock tokens and does not approve any transfer of OpenAI equity, given that it did not approve any stock transfers.

Meanwhile, Lithuania’s central bank, Robinhood’s primary regulator in the European Union, requested clarification on the structure of some of Robinhood's stock tokens in July 2025. The World Federation of Exchanges, a United Kingdom-based industry association, called for stricter regulation of tokenized stocks in August 2025, citing the additional risk they pose to investors and the potential threat to market integrity.