Robinhood Chain Outage and Corporate Backlash Mark Peak Growth
The Robinhood Chain experienced a brief outage on September 4th, halting block production for at least 14 minutes and stalling transactions. The network's rapid growth had made it one of crypto's highest-earning networks, with cumulative fees reaching about $23 million, including roughly $4 million in a recent 24-hour period.
Token Terminal estimated that Robinhood Chain accounted for 78.5% of layer-2 blockchain revenue over the past 30 days. The network's revenue would annualize to roughly $1.7 billion at its current pace, which is based on a short period of elevated activity rather than a formal revenue forecast.
Meanwhile, AMC Entertainment CEO Adam Aron challenged Robinhood after discovering a token tracking his company's shares on the platform's Ethereum layer-2 network. He stated that he finds this practice to be 'contemptible, outrageous, disgusting, detestable, inexcusable, vile' and demanded that Robinhood cease trading the AMC stock token.
Robinhood's chief legal officer, Dan Gallagher, responded by saying that the company will not stop trading the AMC token. He stated, 'We know a little something about the US securities laws and will not 'DECIST.' Send your lawyers and we’ll educate them.'