Robinhood Blockchain Fees Forecast to Reach $160M Annually by 2028

Rising demand for tokenized stock trading is driving growth in fees for Robinhood's blockchain network, according to a Bernstein analyst report. By 2028, the network could generate up to $160 million annually in fees.

The report cites surging activity on automated market-making pools on Uniswap that pair meme coins with stock tokens as the primary driver of this growth. This structure creates 'reflexive demand,' pulling activity toward both sides of these trading pairs simultaneously.

Tokenized equities have drawn criticism from Adam Aron, CEO of AMC Entertainment Holdings, who called Robinhood's tokenized stock offering 'outrageous.' He has asked his outside securities counsel to investigate the product.

Despite this controversy, analysts at Bernstein maintain a positive outlook on Robinhood's prospects. They previously raised their price target for HOOD shares to $160 from $130 in July and maintain an Outperform rating.