Robinhood Launches Ethereum Layer-2 Mainnet to Bridge Crypto and Traditional Finance
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 46 minutes ago
0mins
Source: Yahoo Finance
- Mainnet Launch: Robinhood officially launched its Ethereum Layer-2 network, Robinhood Chain, on Wednesday, aiming to bridge the gap between crypto and traditional finance through integrations with BitGo, Chainlink, and partnerships with Uniswap and Pleiades to enhance market liquidity.
- AI-Driven Trading: The network is described as 'AI-native' and supports trading by AI agents, with Robinhood executives stating that decentralized finance will unlock possibilities beyond traditional finance, expanding financial ownership globally.
- Geographic Expansion: Robinhood plans to expand its services to Canada and Singapore, with crypto services expected for U.K. users soon, further increasing its nearly 28 million customer base and enhancing market competitiveness.
- Stock Price Surge: Robinhood's shares rose over 8% on Wednesday and nearly 20% in the past month, currently trading at $108.65, although still 29% below its 52-week high of $153.86.
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Analyst Views on HOOD
Wall Street analysts forecast HOOD stock price to rise
20 Analyst Rating
16 Buy
4 Hold
0 Sell
Strong Buy
Current: 100.280
Low
130.00
Averages
156.24
High
181.00
Current: 100.280
Low
130.00
Averages
156.24
High
181.00
About HOOD
Robinhood Markets, Inc. is focused on providing financial services offering retail brokerage, crypto, advisory, digital banking services, and private markets access to investors. Its offerings include Brokerage, Robinhood Crypto, Custody, Robinhood Wallet, Robinhood Gold, and Robinhood Gold Card. Brokerage services include investing, options trading, fractional trading, recurring investment, access to investing on margin, fully paid securities lending, cash sweep, instant withdrawals, Robinhood retirement, 24-hour market, joint investing accounts, and event contracts. It also offers a variety of ways for its customers to grow their financial knowledge, including Robinhood Learn, In-App Education, Newsfeeds, Sherwood Snacks, and Crypto Learn and Earn. It also operates regulated crypto platforms including Bitbuy and Coinsquare. Its self-clearing system, order routing system, data platform, and other back-end infrastructure allow its customers to focus on investing, saving and spending.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Robinhood Launches Ethereum Layer-2 Mainnet to Bridge Crypto and Traditional Finance
- Mainnet Launch: Robinhood officially launched its Ethereum Layer-2 network, Robinhood Chain, on Wednesday, aiming to bridge the gap between crypto and traditional finance through integrations with BitGo, Chainlink, and partnerships with Uniswap and Pleiades to enhance market liquidity.
- AI-Driven Trading: The network is described as 'AI-native' and supports trading by AI agents, with Robinhood executives stating that decentralized finance will unlock possibilities beyond traditional finance, expanding financial ownership globally.
- Geographic Expansion: Robinhood plans to expand its services to Canada and Singapore, with crypto services expected for U.K. users soon, further increasing its nearly 28 million customer base and enhancing market competitiveness.
- Stock Price Surge: Robinhood's shares rose over 8% on Wednesday and nearly 20% in the past month, currently trading at $108.65, although still 29% below its 52-week high of $153.86.
See More
Robinhood Launches Major Global Expansion and Product Innovations
- Global Expansion Initiative: Robinhood announced its largest global expansion during an event in London, launching the public mainnet of Robinhood Chain, which aims to bring real-world assets on-chain and connect traditional finance with decentralized finance, marking a significant push into international markets.
- Zero Transaction Fees: The company will offer zero gas fees on Robinhood Chain for the next 90 days, which is expected to significantly boost trading volume and user engagement on the platform, thereby strengthening its competitive position in the crypto market.
- Stock Token Trading: Robinhood Wallet has rolled out stock tokens in over 120 countries, allowing users to trade tokenized versions of more than 90 U.S. stocks and ETFs 24/7, enhancing investment flexibility and expanding the use cases for DeFi applications.
- AI and Financial Innovation: The company introduced AI-powered Agentic Accounts and Robinhood Cortex, providing advanced trading tools for users, further enhancing its innovation capabilities in the fintech space, while Robinhood's stock rose nearly 9% in the market, reflecting investor confidence in its future growth.
See More
Trump Accounts Officially Launch to Boost Children's Retirement Savings
- Account Overview: Trump Accounts (530A accounts) officially launch on July 4, 2026, aimed at providing long-term retirement savings for children under 18, with an initial $1,000 contribution from the U.S. Treasury expected to significantly enhance children's financial security.
- Funding Sources and Management: The accounts can accept contributions from families and employers, with funds managed by Bank of New York Mellon, projected to be invested in U.S. stock funds to facilitate wealth growth for children.
- Eligibility and Contributions: Babies born between 2025 and 2028 will receive a $1,000 initial deposit, while children born between 2016 and 2024 in specific income areas may receive an additional $250, potentially attracting over 754,200 children and generating approximately $188.5 million in contributions.
- Long-Term Growth Potential: Trump Accounts are projected to grow to $6,000 by age 18, and if $5,000 is contributed annually, could reach $271,000, showcasing significant wealth accumulation potential, although market returns may be lower than historical averages.
See More
SoFi Launches Small Business Loan Platform Offering Up to $250,000
- Launch of Small Business Loans: SoFi's new small business loan platform offers fixed-rate loans up to $250,000, aimed at enabling small businesses to access funds quickly, with funding available as soon as 24 hours post-approval, thereby enhancing cash flow management capabilities for these businesses.
- ARK Investment Increase: Cathie Wood's ARK Innovation ETF (ARKK) significantly increased its position in SoFi by purchasing 202,095 shares worth approximately $3.62 million on the same day the new platform was launched, indicating confidence in SoFi's growth potential.
- Market Impact Analysis: Although investment bank Keefe Bruyette does not expect a significant near-term financial impact from the new loan offering, the expansion of product lines could help SoFi develop a sizable business over time, enhancing its competitive position in the market.
- Retail Sentiment Fluctuation: On Stocktwits, retail sentiment around SOFI was in the 'bearish' territory, with some users expressing skepticism about ARKK's buying activity, reflecting a divide among investors regarding the company's growth prospects.
See More
Comparative Analysis of Coinbase and Robinhood for Investors
- Coinbase Financial Performance: In FY 2025, Coinbase's total revenue reached nearly $7.2 billion, reflecting a 9.4% increase year-over-year, with a net income of approximately $1.3 billion and a net margin of 17.6%, indicating improved profitability stability despite the risks associated with crypto market volatility.
- Robinhood Growth Momentum: Robinhood reported revenue of about $4.5 billion in FY 2025, marking an impressive growth rate of 51.6%, with net income close to $1.9 billion and a net margin of 42.1%, showcasing a rapid turnaround from significant losses in 2023 to substantial profitability, enhancing its market appeal.
- Risk Analysis: Coinbase faces regulatory pressures, including a lawsuit from the New York Attorney General and volatility in the crypto market, while Robinhood's reliance on payment for order flow may be impacted by future SEC regulatory changes, and its concentrated voting control among founders raises governance concerns.
- Valuation Comparison: Robinhood's forward P/E ratio stands at 55.2x, significantly lower than Coinbase's 245.9x, indicating its more attractive growth potential, while Coinbase's P/S ratio of 5.8x may appeal to investors seeking direct exposure to crypto assets.
See More
Comparing Investment Prospects of Coinbase and Robinhood
- Coinbase Financial Performance: In FY 2025, Coinbase reported total revenue of nearly $7.2 billion, a 9.4% increase year-over-year, with net income around $1.3 billion and a net margin of 17.6%, indicating stable profitability despite challenges from crypto market volatility.
- Robinhood Growth Momentum: Robinhood achieved approximately $4.5 billion in revenue for FY 2025, reflecting a remarkable growth rate of 51.6% over the previous year, with net income close to $1.9 billion and a net margin of 42.1%, showcasing a significant turnaround from losses to profitability, appealing to a new generation of investors.
- Regulatory Pressure and Competition: Coinbase faces regulatory scrutiny, including a lawsuit from the New York Attorney General, and its revenue is heavily reliant on trading volumes of Bitcoin and Ethereum, which adds volatility to its business model.
- Valuation and Investment Choices: Robinhood's lower forward P/E ratio, combined with its faster growth and stronger profitability, makes it a more attractive investment prospect for 2026, while Coinbase may appeal to those seeking direct exposure to crypto assets.
See More
Robinhood Launches Ethereum Layer-2 Mainnet to Bridge Crypto and Traditional Finance
- Mainnet Launch: Robinhood officially launched its Ethereum Layer-2 network, Robinhood Chain, on Wednesday, aiming to bridge the gap between crypto and traditional finance through integrations with BitGo, Chainlink, and partnerships with Uniswap and Pleiades to enhance market liquidity.
- AI-Driven Trading: The network is described as 'AI-native' and supports trading by AI agents, with Robinhood executives stating that decentralized finance will unlock possibilities beyond traditional finance, expanding financial ownership globally.
- Geographic Expansion: Robinhood plans to expand its services to Canada and Singapore, with crypto services expected for U.K. users soon, further increasing its nearly 28 million customer base and enhancing market competitiveness.
- Stock Price Surge: Robinhood's shares rose over 8% on Wednesday and nearly 20% in the past month, currently trading at $108.65, although still 29% below its 52-week high of $153.86.
See More
Robinhood Launches Major Global Expansion and Product Innovations
- Global Expansion Initiative: Robinhood announced its largest global expansion during an event in London, launching the public mainnet of Robinhood Chain, which aims to bring real-world assets on-chain and connect traditional finance with decentralized finance, marking a significant push into international markets.
- Zero Transaction Fees: The company will offer zero gas fees on Robinhood Chain for the next 90 days, which is expected to significantly boost trading volume and user engagement on the platform, thereby strengthening its competitive position in the crypto market.
- Stock Token Trading: Robinhood Wallet has rolled out stock tokens in over 120 countries, allowing users to trade tokenized versions of more than 90 U.S. stocks and ETFs 24/7, enhancing investment flexibility and expanding the use cases for DeFi applications.
- AI and Financial Innovation: The company introduced AI-powered Agentic Accounts and Robinhood Cortex, providing advanced trading tools for users, further enhancing its innovation capabilities in the fintech space, while Robinhood's stock rose nearly 9% in the market, reflecting investor confidence in its future growth.
See More
Trump Accounts Officially Launch to Boost Children's Retirement Savings
- Account Overview: Trump Accounts (530A accounts) officially launch on July 4, 2026, aimed at providing long-term retirement savings for children under 18, with an initial $1,000 contribution from the U.S. Treasury expected to significantly enhance children's financial security.
- Funding Sources and Management: The accounts can accept contributions from families and employers, with funds managed by Bank of New York Mellon, projected to be invested in U.S. stock funds to facilitate wealth growth for children.
- Eligibility and Contributions: Babies born between 2025 and 2028 will receive a $1,000 initial deposit, while children born between 2016 and 2024 in specific income areas may receive an additional $250, potentially attracting over 754,200 children and generating approximately $188.5 million in contributions.
- Long-Term Growth Potential: Trump Accounts are projected to grow to $6,000 by age 18, and if $5,000 is contributed annually, could reach $271,000, showcasing significant wealth accumulation potential, although market returns may be lower than historical averages.
See More
SoFi Launches Small Business Loan Platform Offering Up to $250,000
- Launch of Small Business Loans: SoFi's new small business loan platform offers fixed-rate loans up to $250,000, aimed at enabling small businesses to access funds quickly, with funding available as soon as 24 hours post-approval, thereby enhancing cash flow management capabilities for these businesses.
- ARK Investment Increase: Cathie Wood's ARK Innovation ETF (ARKK) significantly increased its position in SoFi by purchasing 202,095 shares worth approximately $3.62 million on the same day the new platform was launched, indicating confidence in SoFi's growth potential.
- Market Impact Analysis: Although investment bank Keefe Bruyette does not expect a significant near-term financial impact from the new loan offering, the expansion of product lines could help SoFi develop a sizable business over time, enhancing its competitive position in the market.
- Retail Sentiment Fluctuation: On Stocktwits, retail sentiment around SOFI was in the 'bearish' territory, with some users expressing skepticism about ARKK's buying activity, reflecting a divide among investors regarding the company's growth prospects.
See More
Comparative Analysis of Coinbase and Robinhood for Investors
- Coinbase Financial Performance: In FY 2025, Coinbase's total revenue reached nearly $7.2 billion, reflecting a 9.4% increase year-over-year, with a net income of approximately $1.3 billion and a net margin of 17.6%, indicating improved profitability stability despite the risks associated with crypto market volatility.
- Robinhood Growth Momentum: Robinhood reported revenue of about $4.5 billion in FY 2025, marking an impressive growth rate of 51.6%, with net income close to $1.9 billion and a net margin of 42.1%, showcasing a rapid turnaround from significant losses in 2023 to substantial profitability, enhancing its market appeal.
- Risk Analysis: Coinbase faces regulatory pressures, including a lawsuit from the New York Attorney General and volatility in the crypto market, while Robinhood's reliance on payment for order flow may be impacted by future SEC regulatory changes, and its concentrated voting control among founders raises governance concerns.
- Valuation Comparison: Robinhood's forward P/E ratio stands at 55.2x, significantly lower than Coinbase's 245.9x, indicating its more attractive growth potential, while Coinbase's P/S ratio of 5.8x may appeal to investors seeking direct exposure to crypto assets.
See More
Comparing Investment Prospects of Coinbase and Robinhood
- Coinbase Financial Performance: In FY 2025, Coinbase reported total revenue of nearly $7.2 billion, a 9.4% increase year-over-year, with net income around $1.3 billion and a net margin of 17.6%, indicating stable profitability despite challenges from crypto market volatility.
- Robinhood Growth Momentum: Robinhood achieved approximately $4.5 billion in revenue for FY 2025, reflecting a remarkable growth rate of 51.6% over the previous year, with net income close to $1.9 billion and a net margin of 42.1%, showcasing a significant turnaround from losses to profitability, appealing to a new generation of investors.
- Regulatory Pressure and Competition: Coinbase faces regulatory scrutiny, including a lawsuit from the New York Attorney General, and its revenue is heavily reliant on trading volumes of Bitcoin and Ethereum, which adds volatility to its business model.
- Valuation and Investment Choices: Robinhood's lower forward P/E ratio, combined with its faster growth and stronger profitability, makes it a more attractive investment prospect for 2026, while Coinbase may appeal to those seeking direct exposure to crypto assets.
See More
