Robinhood Proposes National Standard for Tokenized Trading

Robinhood has filed a detailed proposal with the U.S. Securities and Exchange Commission (SEC), urging the creation of a unified regulatory framework to govern tokenized real-world assets (RWAs). The move could lay the foundation for a legally compliant blockchain-based securities market in the United States.

Good to know

• Robinhood’s 42-page submission outlines a full framework for tokenized asset regulation.
• The Real World Asset Exchange (RRE) model combines off-chain matching with on-chain settlement.
• The proposal includes KYC/AML integration via partners like Jumio and Chainalysis.

Robinhood’s submission, according to Forbes, introduces the Real World Asset Exchange (RRE) — a system designed to treat tokenized assets like stocks or bonds, not synthetic derivatives. The company argues for a national standard to replace the current patchwork of state-level regulations.

If approved, the framework could allow broker-dealers to handle tokenized RWAs using existing regulatory structures. This approach would offer clearer legal pathways for institutional players who have so far hesitated due to regulatory uncertainty.

The RRE model envisions a hybrid infrastructure where trade execution happens off-chain, while settlement is completed on-chain. Identity and compliance checks would be handled through trusted partners, ensuring anti-money laundering (AML) and know-your-customer (KYC) measures are met.

Robinhood’s proposal arrives as interest in tokenized finance continues to grow, with the global market for RWAs projected to reach $30 trillion by 2030. While the SEC has not yet responded, Robinhood’s move signals growing momentum toward clearer rules that support innovation while maintaining investor protections.