Robinhood's Tokenized Stocks Shake the Altcoin Market—Bullish or Bloodbath?

In Brief:

Robinhood EU launched tokenized stocks like OpenAI and SpaceX on Arbitrum.

Experts are split: will this bring new liquidity to crypto or drain it from altcoins?
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Robinhood’s bold move into tokenized equities has the crypto world watching closely.

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The company recently launched tokenized versions of high-profile stocks such as OpenAI and SpaceX on Arbitrum, enabling 24/5 trading, dividends, and cross-asset functionality. Their crypto wallet has already minted over 2,300 OpenAI tokens, hinting at deeper expansion plans.

But not everyone is bullish.

Some experts argue tokenized stocks could hurt altcoins. Hitesh Malviya, a crypto builder, believes these assets will pull capital away from alts, especially given the underperformance of many tokens over the past 30 months. He expects volume to rotate toward tokenized stocks and PCV (protocol-controlled value) assets.

Kamino Finance is already jumping in, launching “xStocks” on Solana—letting users borrow against tokenized tech giants like AAPL, NVDA, and META.

Still, others raise concerns about how these assets are being structured.

Carlos Domingo of Securitize slammed Robinhood’s approach, criticizing its use of proprietary "wrapped" tokens that could fragment liquidity. Ironically, Robinhood’s crypto head had earlier complained about that same issue.

Some like investor Beanie go further, calling tokenized stocks outright bearish for crypto. He argues that finite capital will simply move toward real-performing stocks, draining interest from speculative or low-utility altcoins.

Yet others like trader S4mmy are more open, saying it all depends on utility: if the tokens truly offer rights to the underlying stock and its benefits, it could be a good thing for DeFi.

Regardless, Robinhood’s move has kicked off a new era of stock-token experiments. Whether it helps crypto grow—or shifts attention away from it—will depend on execution, not just vision.

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