Robinhood Chain has officially started its testnet process.

Robinhood Chain Enters Testnet Phase

Robinhood Chain recently announced the launch of its testnet process on an Ethereum-based Layer 2 network. This move will allow developers to experience the technical capabilities of the network in a low-risk environment and accelerate the integration of Robinhood's existing business model.

New Opportunities and Open Testnet for Developers

Robinhood Crypto Senior Vice President Johann Kerbrat emphasized that this testnet phase is particularly aimed at institutional developers creating innovative products such as perpetual futures exchanges and lending platforms. Additionally, Robinhood's work on stock tokens is enhancing users' access to traditional stock investments.

Rebuilding Technology Infrastructure

Kerbrat stated that their goals are not only focused on creating a scalable Layer 2 network but also on leveraging this infrastructure technology to restructure existing systems. Robinhood plans to carve out a unique space in the crypto ecosystem with Layer 2 solutions.

Regulatory Hurdles and Opportunities

In the U.S., it has been noted that the securities regulator SEC is working on a regulation for digital representations. This indicates that there are still some restrictions regarding access to tokenized assets. The company intends to expand its services offered through stock tokens to as many countries as possible. However, a cautious and gradual approach will be taken during this process.

A New Era with Arbitrum

Robinhood is taking a different approach by basing its Layer 2 network on Arbitrum. Offchain Labs CEO Steven Goldfeder stated that Arbitrum's developer-friendly structure holds the potential to innovate in the tokenization space for Robinhood Chain.