Robinhood: Built its own Ethereum-based L2 due to its security and liquidity

BlockBeats News, January 11, Robinhood's Head of Crypto, Johann Kerbrat, stated that the company chose to build its Ethereum Layer-2 network based on Arbitrum, rather than launching an independent Layer-1. The core reason is the desire to directly leverage Ethereum's security, decentralization, and EVM ecosystem liquidity, allowing the company to focus on core products such as stock tokenization.

Robinhood's proprietary L2 is still in the private testnet phase, and tokenized stocks have already been deployed on Arbitrum One. In the future, assets and liquidity can be seamlessly migrated when the new chain goes live. As of now, the number of Robinhood's tokenized stocks has expanded from about 200 initially to over 2,000. (CoinDesk)