Robinhood Launches Public Testnet for Ethereum L2 Focused on Tokenized Assets

Robinhood has launched a test version of its Robinhood Chain, a layer‑2 solution leveraging Arbitrum’s technology on Ethereum.

The move aims to enable users to interact with both digital and tokenized real-world assets directly on blockchain networks.

With the testnet now live, developers can begin building on the network. Robinhood confirmed that the release includes public access points and technical documentation available at docs.chain.robinhood.com.

Notably, the system is compatible with widely used Ethereum development tools, lowering the barrier to entry for builders. Meanwhile, several infrastructure partners have already begun early integrations, the company added.

Key Points

• Robinhood launched a public testnet for Robinhood Chain, an Arbitrum-based Ethereum layer-2 network.
• The chain is designed to support tokenized real-world assets and financial-grade applications.
• Developers can now build on the network using standard Ethereum tools and public documentation.
• Robinhood plans to transition the network from testnet to mainnet later this year.
• The move aligns with its broader strategy to tokenize traditional assets and operate its own on-chain infrastructure.

Built for Financial-Grade Applications

Robinhood positioned the chain as infrastructure for “financial-grade” use cases rather than a general-purpose blockchain. According to the company, the network supports continuous, 24/7 trading and facilitates smoother cross-blockchain transfers. It also enables self-custody and a range of decentralized finance (DeFi) services.

Potential applications include tokenized-asset platforms, perpetual-futures exchanges, and lending markets. These products are intended to connect directly to Ethereum’s broader DeFi ecosystem, enabling developers to leverage existing liquidity rather than build it from scratch.

Looking ahead, Robinhood plans to transition from testnet to mainnet later this year. In the interim, it expects to roll out additional features, including testnet-only assets such as stock-style tokens and deeper integration with Robinhood Wallet.

In a press statement, Robinhood’s head of crypto and international operations, Johann Kerbrat, said the testnet establishes the foundation for an ecosystem centered on tokenized real-world assets. He added that builders would be able to access Ethereum’s decentralized finance liquidity through the new chain.

Part of a Broader Tokenization Strategy

The rollout of Robinhood Chain signals a broader evolution in the company’s strategy. Rather than limiting itself to crypto trading services, Robinhood is expanding into operating its own on-chain infrastructure.

This move builds on Robinhood’s earlier decision to tokenize nearly 500 U.S. stocks and exchange-traded funds on Arbitrum. The initiative seeks to bring traditional financial products onto blockchain networks.

Robinhood is not alone in pursuing this vertically integrated model. Across the industry, exchanges are increasingly seeking to control both the user-facing trading platform and the underlying blockchain rails.

Coinbase provides one example. Beyond operating a regulated exchange, it has developed Base, its own layer-2 network, and announced plans to begin rolling out tokenized equities in December 2025.

Kraken is taking a comparable route. Alongside its global crypto exchange, the company is building Ink, a layer-2 network based on Optimism, and developing xStocks, its tokenized equities offering.

Regulatory Context and Market Structure

Even as Robinhood expands its blockchain footprint, it continues to operate under regulatory and public scrutiny. For instance, the company has faced criticism in the past over platform outages during periods of heightened market volatility.

It has also drawn attention for its reliance on payment for order flow in equities trading, a model in which market-making firms compensate brokers for routing customer orders.

Earlier this year, CEO Vlad Tenev addressed how tokenized equities could alter market dynamics. In January, he said blockchain-based, real-time settlement could help reduce the risk of trading freezes. Immediate settlement, he suggested, may offer structural advantages over traditional market infrastructure.