Robinhood Chain Dominated by Degen Traffic, Not New Users

ARK Invest researcher Lorenzo Valente has analyzed data from Robinhood Chain and found that most trading activity on the chain does not come from new users added by Robinhood. Instead, it is dominated by Degen traffic such as GMGN and OKX.

The research indicates that only a small percentage of transactions - less than 1% - can be confirmed to originate from Robinhood users, specifically through Swap transactions conducted by the Robinhood Wallet through the 0x Settler contract. Even including some unidentifiable long-tail transactions, the proportion of Robinhood-related transactions may only be around 5%.

The remaining trading activities are mainly driven by platforms like GMGN and OKX, which exhibit similar Degen behavior to other public chains. Valente concludes that the current state of Robinhood Chain resembles 'the same group of Degen, just on a new chain.'