In a pivotal move that bridges the gap between traditional brokerage services and the decentralized web, Robinhood Markets has officially launched the public testnet for its proprietary Ethereum Layer-2 network, Robinhood Chain. Announced on February 11, 2026, this strategic rollout marks the fintech giant's most aggressive push yet into blockchain infrastructure, specifically targeting the booming sector of RWA tokenization (Real-World Assets).
Robinhood Chain: Built on Arbitrum Orbit for the RWA Era
The newly unveiled Robinhood Chain is built using Arbitrum Orbit technology, leveraging the security of Ethereum while offering the scalability required for high-frequency financial applications. By choosing Arbitrum's tech stack, Robinhood ensures full EVM (Ethereum Virtual Machine) compatibility, allowing developers to easily migrate existing DeFi protocols to the new network.
Johann Kerbrat, General Manager of Robinhood Crypto, emphasized that the chain is designed to be more than just a scaling solution. "Our goal is to rebuild parts of our internal financial systems on-chain," Kerbrat stated during the launch. The network uses Ethereum for data availability and ETH as the native gas token, signaling a commitment to the broader Ethereum ecosystem rather than a walled garden approach.
Unlocking Trillions: The Push for Tokenized Real-World Assets
The core mission of the Robinhood testnet launch is to facilitate the seamless trading of tokenized real-world assets. Following a successful pilot of tokenized stocks in Europe throughout 2025, Robinhood is now positioning its Layer-2 as the infrastructure rail for global, 24/7 trading of equities, ETFs, and potentially private equity assets.
This development aligns with the broader industry trend of RWA tokenization, which experts predict will dominate DeFi liquidity 2026. By moving settlement on-chain, Robinhood aims to eliminate the traditional "T+1" settlement cycles, offering instant finality and self-custody options for users. The testnet phase invites developers to build applications that can interact with these tokenized securities, effectively merging the $100 trillion traditional asset market with programmable money.
Strategic Partners and Infrastructure
To ensure a robust ecosystem from day one, Robinhood has partnered with key infrastructure providers including Alchemy for node services and LayerZero for cross-chain interoperability. These partnerships are critical for enabling seamless asset transfers between Robinhood Chain and other Ethereum Layer-2 networks, preventing liquidity fragmentation—a common hurdle in the current DeFi landscape.
Financial Context: Building Through the Bear Market
The launch comes at a complex time for the company. In its Q4 2025 earnings report, released the same week as the testnet debut, Robinhood reported record net revenue of $1.28 billion but missed Wall Street expectations due to a 38% decline in crypto transaction revenue. Robinhood shares (HOOD) dipped approximately 9% following the news.
However, industry analysts view the Robinhood Chain announcement as a bullish long-term signal. While retail crypto trading volumes have cooled off from their 2024 highs, the company's pivot toward infrastructure and institutional-grade tokenization suggests a maturation of its business model. By owning the underlying network, Robinhood can capture value not just from trading fees, but from the network activity generated by DeFi applications and asset issuance.
What This Means for DeFi Liquidity in 2026
As we move deeper into 2026, the lines between "fintech" and "DeFi" are blurring. Robinhood crypto news is no longer just about listing new coins; it's about structural integration. The public testnet is the first step toward a mainnet launch expected later this year. Once live, it could onboard Robinhood's 23 million funded customers directly into on-chain finance, providing massive liquidity injection into the Ethereum Layer-2 ecosystem.
For developers and investors alike, the message is clear: the future of finance is on-chain, and major players are building the rails to get us there. The Robinhood Chain testnet is now live for developers to explore, signaling the start of a new chapter in the convergence of Wall Street and Web3.
