Robinhood CEO Vlad Tenev believes that blockchain expertise will finally underpin inventory buying and selling, arguing that crypto’s infrastructure may make monetary markets extra accessible, cost-efficient, and resilient.
Tenev made the assertion throughout a fireplace chat, the place he outlined how integrating shares with blockchain networks may take away many inefficiencies in conventional buying and selling techniques, permitting belongings to commerce seamlessly across the clock.
Crypto rails in inventory markets
Tenev pointed to the 24/7 nature of crypto buying and selling, decrease settlement instances, and decreased transaction prices as key benefits over legacy monetary infrastructure. He contrasted this with the inventory market, the place trades are restricted to particular hours and settlement can take days.
Tenev stated:
“There’s no cause why traders ought to have the liberty to commerce meme cash at any time, however face boundaries when attempting to spend money on firms like SpaceX or OpenAI.”
He added that the identical blockchain expertise used for cryptocurrencies might be utilized to shares, bonds, and different belongings.
Whereas some conventional monetary establishments have began testing blockchain for clearing and settlement processes, regulatory uncertainty continues to hinder widespread adoption.
Based on Tenev, securities legal guidelines within the US have largely restricted crypto’s integration with real-world monetary belongings, limiting its full potential.
Past regulatory hurdles
Tenev argued that the sluggish adoption of crypto infrastructure in conventional markets isn’t as a result of technological limitations however slightly a scarcity of regulatory readability.
He acknowledged:
“We haven’t been allowed to attach crypto with productive belongings within the US due to securities legal guidelines, however that’s one thing we’ll want to deal with.”
Nonetheless, he acknowledged that the panorama is beginning to shift below the present administration and expressed optimism about overcoming the hurdles which have stifled the trade up to now.
Tenev is scheduled to attend the White Home Crypto Summit later this week, the place he plans to advocate for clearer laws that might allow blockchain expertise to help mainstream monetary markets.
Robinhood, which has expanded its crypto choices regardless of regulatory scrutiny, is positioning itself as a frontrunner within the US digital asset ecosystem. The corporate has steadily grown its crypto providers alongside its inventory buying and selling platform, giving retail traders publicity to each markets.
Tenev’s feedback come as main monetary gamers, together with asset managers and banks, discover methods to combine blockchain into their operations, with some already experimenting with tokenized securities and digital asset settlements.
If regulators present a clearer framework, Tenev believes crypto expertise may function the spine of the next-generation monetary system, bringing the effectivity and accessibility of blockchain to inventory buying and selling and past.
