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Robinhood plans 1:1 redemptions for stock tokens
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Robinhood plans 1:1 redemptions for stock tokens

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  • Robinhood has announced plans for one-for-one share redemptions for eligible Stock Token holders.
  • The company has also confirmed plans to introduce voting rights for eligible holders.
  • The changes have followed criticism over the rights attached to its tokenised stocks.

Robinhood has announced plans to add one-for-one share redemptions and voting rights for eligible Stock Token holders.

The company has faced criticism because its existing tokens have provided price exposure without direct ownership or voting rights.

“In-kind redemption and voting are coming for Robinhood Stock Tokens,” said CEO Vlad Tenev.

Robinhood crypto chief Johann Kerbrat has said both features have been added to the company's roadmap for eligible holders.

Robinhood shares have closed 2.17% higher at US$115.01 following the announcement.

The Stock Tokens have been offered outside the US through Robinhood's Jersey-based subsidiary and have been structured as debt instruments.

Robinhood has said the tokens have been backed one-for-one by real shares, while holders have not been able to redeem them directly or vote on the underlying companies.


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