Robinhood launched the public testnet for Robinhood Chain, its Ethereum Layer 2 built on Arbitrum, on February 10, 2026, per The Block. The move positions Robinhood to lead in tokenized real-world assets (RWAs) and DeFi integration, allowing developers to test Stock Tokens and Robinhood Wallet features. Johann Kerbrat, Robinhood Crypto GM, stated the chain will “define the future of tokenized RWAs” and enable builders to tap Ethereum liquidity, per. This follows Robinhood’s June 2025 tokenized stocks launch for Europeans on Arbitrum One, offering 24/5 trading for 2,000+ U.S. equities.
Robinhood Chain leverages Arbitrum’s Orbit stack for high throughput and low fees, supporting permissionless financial services. The testnet invites experimentation to identify issues before mainnet, with testnet-only assets for integration testing, per. Offchain Labs CEO Steven Goldfeder praised the chain as “well-positioned” for tokenization, per. Despite Q4 2025 crypto revenue dropping 38% to $221M, per prior earnings, Robinhood’s $324B assets and Bitstamp acquisition bolster its institutional push.
HOOD shares dipped 8% post-Q4 earnings, reflecting crypto slowdown, but the testnet announcement signals long-term commitment. Robinhood’s 24/7 trading and self-custody plans for tokenized stocks could disrupt traditional markets, per. Arbitrum’s $2.1B TVL and Ethereum’s $167B DeFi TVL provide a strong base, per DefiLlama. Risks include SEC scrutiny on tokenized securities, per Coinlaw.io, but Paul Atkins’ pro-crypto stance may ease hurdles, per. Robinhood Chain could capture $50B in RWA volume by 2027, according to CoinShares.
Robinhood Chain’s mainnet, expected in 2026, could drive HOOD recovery and Arbitrum growth, per. Investors should monitor testnet feedback on robinhood.com and ARB price ($1.72) on CoinGecko. Diversify into ETH ($4,070) or stablecoins like USDC, with stop-losses below BTC’s $112,000, per TradingView. Follow @TheBlock__ on X for updates. Robinhood’s L2 play could redefine tokenized finance, but regulatory and adoption risks remain in 2026.
