Robinhood's Crypto Ambitions Leave Binance in the Dust
Robinhood Markets (NASDAQ: HOOD) has emerged as a major player in the crypto space, thanks to its newly launched blockchain, the Robinhood Chain. This layer 2 network is rivaling some of the largest blockchains in terms of trading volume and tokenized stocks, handling around 88.2% of tokenized stock trading on decentralized exchanges in early September.
The Robinhood Chain's success has put pressure on Binance (BNB), which hosts its own chain and BNB coin. According to a report by Binance Research, the combined volume of the two chains is expected to be lapped by Robinhood in tokenized equities within a couple of quarters at most.
One reason for Robinhood's success is its massive user base, with over 28 million users thanks to its highly popular stock trading app. This existing pool of users will likely drive further growth in crypto trading services, making Robinhood the company to beat in this space.