A decentralized trade (DEX) backed by Robinhood is increasing into tokenized shares and derivatives as platforms compete to construct onchain markets for conventional belongings.
Arcus, a DEX constructed by the crew behind decentralized buying and selling platform dYdX and backed by Robinhood Crypto, launched tokenized shares and perpetual futures on Robinhood Chain on Tuesday, in response to an announcement shared with Cointelegraph.
The corporate beforehand launched spot markets when Robinhood Chain went stay on July 1. Arcus presents greater than 95 inventory tokens, perpetual markets and crypto belongings via a self-custodial buying and selling account, with Paxos-issued stablecoin USDG serving as its main collateral and settlement asset.
The launch comes as crypto firms and monetary platforms more and more compete to construct infrastructure for tokenized real-world belongings (RWAs), whereas regulatory questions round entry and product construction stay a key problem for the sector.
Self-custody shapes strategy to onchain buying and selling
Arcus’s launch contains tokenized variations of inventory in main US firms akin to Nvidia, Tesla, Apple, Microsoft, Meta, Google and Amazon, in addition to perpetual markets tied to equities, exchange-traded funds, commodities, indexes and crypto belongings.
The platform makes use of a self-custodial mannequin, permitting customers to retain management of their belongings relatively than deposit them with a centralized trade. Arcus makes use of Privy, a pockets infrastructure firm that helps purposes create and handle crypto wallets, permitting customers to enroll via e mail or social logins.
Supply: Robinhood Chain
Customers who already maintain crypto can join current self-custodial wallets, together with MetaMask, Ledger and WalletConnect, with the corporate citing assist for extra Ethereum-compatible wallets.
Tokenized shares face regulatory questions
Arcus stated its inventory tokens are unavailable within the US, Canada, the UK and different restricted jurisdictions, highlighting the completely different regulatory approaches to tokenized securities throughout markets.
Cointelegraph contacted Arcus for clarification on the restrictions however didn’t obtain a response by publication time.
Regulators in markets together with the US and UK have been analyzing how blockchain-based representations of conventional belongings match inside current monetary frameworks, with questions round custody, possession and market construction being addressed.
The launch provides one other participant to the rising race to construct infrastructure for tokenized belongings, with platforms together with Coinbase-backed Base exploring methods to convey conventional monetary merchandise onchain.
