Robinhood CEO Reacts to SEC's New Tokenization Exemption
The U.S. Securities and Exchange Commission (SEC) has introduced a new regulatory framework, the 'Innovation Exemption,' which allows tokenized stocks to trade on blockchain-based platforms for five years without being classified as traditional exchanges. Robinhood CEO Vlad Tenev praised this move, calling it a win for innovation that brings benefits like instant settlement, 24/7 trading, and fractional ownership by default. The exemption also provides relief from dealer-registration requirements for automated market maker liquidity providers in tokenized National Market System stocks. This development follows the Senate's failure to advance broader crypto legislation through the Clarity Act. SEC Chair Paul Atkins described the rule as a bridge toward long-term regulation while maintaining investor protections and market integrity. Robinhood has already expanded its tokenized stock access internationally via its Arbitrum-based Robinhood Chain, with competitors like Coinbase reportedly preparing similar domestic initiatives.
Topics: blockchain trading Robinhood SEC tokenization