U.S.-based investment and trading platform Robinhood took a notable strategic step in the crypto space while reporting its Q4 2025 financial results. The company officially announced its own blockchain network, called “Robinhood Chain,” signaling its goal to go beyond being just a brokerage platform. Currently in the testnet phase, this new network aims to establish long-term infrastructure for tokenization and decentralized finance (DeFi). Robinhood Chain is expected to provide solutions that facilitate the on-chain transfer of real-world assets and lay the foundation for a DeFi-integrated ecosystem in the future.
What Is Robinhood Chain and Why Is It on Arbitrum?
Robinhood Chain is a Layer-2 blockchain network built on the Arbitrum infrastructure. Arbitrum was chosen because it preserves Ethereum’s security while offering lower transaction fees and higher scalability. Previously, Robinhood also launched tokenized stock offerings for users outside the U.S. on Arbitrum. Building its own chain on this ecosystem allows Robinhood to leverage technical compatibility, access existing liquidity pools, and benefit from the Arbitrum developer community a strategic move for long-term infrastructure development.
With the testnet rollout, Robinhood signals its shift from being solely a brokerage service provider to becoming a direct blockchain infrastructure player. This transformation shows the company’s intention to secure a more central role in tokenization, DeFi integration, and on-chain financial services over the long term.
Johann Kerbrat, head of Robinhood’s crypto division, commented on the new network:
“This chain will build the infrastructure for the future of tokenized real-world assets.”
Kerbrat emphasized that the network’s scope goes beyond crypto trading to include stocks, RWAs (real-world assets), individual custody solutions, and on-chain financial services. New DeFi products designed to enhance liquidity access are also planned to be developed on this chain.
Crypto Revenue Decline Draws Attention
Despite these strategic moves and long-term vision, Robinhood’s short-term financial performance remains under pressure. The company’s stock, HOOD, has fallen roughly 33% over the past month and 40% over the last three months, reaching around $78—down significantly from its previous peak above $150, reflecting weakened investor expectations.
Robinhood’s Q4 2025 financial report showed a 38% decline in crypto trading revenues compared to the previous quarter. The overall slowdown in the crypto market and decreased trading volumes were the main factors behind this drop. This context helps explain why Robinhood is focusing on a long-term infrastructure strategy centered on tokenization and DeFi, independent of short-term revenue fluctuations.
Evaluation
Robinhood Chain, launched on Arbitrum, demonstrates that the company’s crypto vision prioritizes building a tokenization and DeFi-focused ecosystem over short-term trading revenues. Despite declining revenue, this move signals Robinhood’s ambition to play a more central role in blockchain-based financial services in the future.
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