Robinhood’s 24/7 Tokenization Push Threatens NYSE Revenues

    By

    Triparna Baishnab

    Triparna Baishnab

    Robinhood’s tokenized trading of stocks and ETFs could challenge NYSE revenue models, with blockchain technology leading the shift.

    Robinhood’s 24/7 Tokenization Push Threatens NYSE Revenues

    Quick Take

    Summary is AI generated, newsroom reviewed.

    • Robinhood’s 24/7 tokenized trading challenges NYSE’s revenue model.

    • Blockchain technology reduces transaction costs by up to 30% for tokenized assets.

    • The GENIUS Act signals growing regulatory support for cryptocurrencies.

    • Tokenized trading could expose consumers to market volatility, critics warn.

    Robinhood has introduced 24/7 buying and selling of income-generating tokens on stocks (and other securities and ETFs) that may pose a huge threat to the NYSE business model. It started this movement on July 1, 2025 in Europe, with more than 200 stocks and ETFs, all zero-commission. Robinhood does tokenize private equity using blockchain technology and this is changing how investors will be able to trade investments such as OpenAI and SpaceX.

    This transition is a paradigm shift in the financial markets because Robinhood aims at making the trading platform more affordable and dynamic. Galaxy digital has studied the situation, which indicates that the model used by robinhood may destroy conventional market structures. Robinhood also makes great opportunities because it provides all-day trading, which helps find new cohorts of investors interested in trading and seeking flexibility and smaller charges.

    Blockchain’s Role in Robinhood’s Strategy

    Robinhoods move to commoditize and secure their assets by using blockchain technology has a potential to bust the rival exchanges. A study conducted by Journal of Financial Economics in 2023 revealed that tokenized assets were to lower costs by an average of 30 percent compared to ordinary exchanges.

    Increasing tokenization of private equity allows fractional investment, which helps smaller investors to invest into high-value assets. Robinhood is attempting to make a name in the financial plain, with the ability to trade 24/5 on a blockchain-based platform, the company is currently a disruptor in the financial market as it now provides an option to trade without being limited by the business hours.

    Regulatory Developments and the GENIUS Act

    The recent passage of the GENIUS Act, by the U.S. Senate on June 18, 2025, is an indicator that regulation of cryptocurrencies is likely to become more popular. These developments in regulations favor Robinhood and its strategy which might make the company stronger in the market.

    Nevertheless, the increased regulatory presence provokes the problem of the instability of crypto markets as well. The critics have reported that although tokenized trading has potential to cut down the price, the practice might subject consumers to unproven hazards in the market. With the emerging regulatory properties of crypto, the NYSE and other usual exchanges will either have to embrace those changes or lose out to newer services like Robinhood.

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