Robinhood-backed DEX Arcus has launched tokenized versions of major US stocks and perpetual futures on Robinhood Chain, marking a significant step in the race to bring traditional assets onto blockcha
Arcus, a decentralized exchange (DEX) built by dYdX and backed by Robinhood Crypto, recently expanded its offerings with the addition of tokenized stocks and perpetual futures. This launch comes as crypto platforms increasingly compete to support onchain trading of real-world assets (RWAs), despite ongoing regulatory challenges.
The platform now offers over 95 stock tokens representing major US companies such as Nvidia, Tesla, Apple, Microsoft, Meta, Google, and Amazon, along with perpetual markets tied to equities, exchange-traded funds, commodities, indexes, and crypto assets. Users can trade through a self-custodial account that uses Paxos-issued stablecoin USDG for collateral.
Arcus emphasizes its self-custody model, allowing users to retain control over their assets without depositing them with a centralized entity. This feature is facilitated by Privy, which helps applications create and manage crypto wallets through email or social logins. The platform also supports popular Ethereum-compatible wallets like MetaMask, Ledger, and WalletConnect.
While the launch represents an advancement in tokenizing traditional securities on blockchain platforms, it faces regulatory hurdles. Arcus noted that its stock tokens are currently unavailable in restricted jurisdictions such as the US, Canada, and UK, reflecting varied approaches to regulating tokenized assets across different markets.
This move by Arcus adds another player to the growing competition for infrastructure development around tokenized assets. Other platforms like Coinbase-backed Base are also exploring ways to bring traditional financial products onchain. The expansion of Arcus into tokenized stocks could have significant implications for both traders and regulators as they navigate the evolving landscape of blockchain-based asset trading.
Traders should monitor how other DEXs and crypto exchanges respond to this development, particularly in terms of regulatory compliance and user adoption. Additionally, the success or failure of Arcus's model may influence broader market trends around self-custody and onchain tradable assets.
Source: Cointelegraph. Summarized and rewritten by the Vexoda Newsroom. This is market news, not financial advice.