PARE Protocol Splits Tokenized Stocks into Two Tradeable Components

PARE is a yield-splitting protocol on Robinhood Chain that was launched on September 3, 2026. It separates tokenized stocks into two tradeable components: a principal token representing the underlying share with its dividends removed, and a yield token representing every dividend the share pays until a fixed maturity date.

Holders can buy either component on its own or recombine both at any time to recover the original stock token. The protocol operates on Robinhood Stock Tokens, which are ERC-8056 tokens issued by Robinhood Assets. These tokens do not pay dividends as cash; instead, the issuer reinvests each dividend and records it as an increase in the token's on-chain multiplier.

PARE reads this multiplier through a component called the accountant, which classifies each change as a dividend or a stock split according to fixed, non-overlapping bands. Changes that fall outside both bands are resolved by a guardian role subject to a two-day public timelock.

As of September 2026, four series are live: AAPL, SPY, and QQQ maturing in March 2027, and PFE maturing in March 2028. Each series has principal and yield token pools on Uniswap, quoted in the underlying stock token.