Robinhood's Tokenized Stock Offering Sparks Outrage from AMC CEO Adam Aron

AMC Entertainment CEO Adam Aron publicly criticized Robinhood for creating tokenized AMC shares without the company's knowledge or consent.

Aron called the practice 'contemptible' and 'outrageous,' saying AMC had no involvement in the product and did not approve it.

The tokens, issued by Jersey-based Robinhood Assets as ERC-20 tokens on the blockchain, give holders economic exposure to US stocks but do not provide actual ownership of the underlying shares.

AMC plans to involve outside securities counsel to investigate the matter further. Robinhood has faced pushback from other companies before, including OpenAI, which rejected similar tokenized shares linked to its private AI company last year.