Robinhood crypto revenue doubles as CEO bets big on asset tokenization

Key Points

1. Robinhood's crypto revenue increased 98% year-on-year to $160 million, with total net revenue up 45% to $989 million and net income rising 105% to $386 million.

2. Crypto trading volumes grew 32% to $28 billion, aligning with a 21.7% increase in the overall crypto market cap to $3.36 trillion.

3. CEO Vladimir Tenev emphasized plans to tokenize 'previously inaccessible' alternative assets, leveraging Robinhood's new layer 2 blockchain, Robinhood Chain.

4. The company's tokenization strategy has attracted significant interest but also legal scrutiny, including an inquiry in Lithuania and skepticism over token representation (e.g., OpenAI token).

5. Tenev argued Robinhood's 25 million US users give it a competitive edge in tokenization, though Ethereum remains the dominant platform for real-world asset tokenization with $7 billion secured.