Robinhood Faces Credibility Risk as Tokenization Strategy Sparks Legal Concerns
Robinhood Markets (NASDAQ:) sparked controversy this week when it launched tokenized shares of high-profile private companies, including OpenAI and SpaceX, for European Union users, only to face swift condemnation from OpenAI itself.
The AI company publicly distanced itself from the trading platform’s latest crypto initiative, warning investors that these “OpenAI tokens” are not actual equity and were created without the company’s approval or endorsement.
The dispute highlights growing tensions between crypto platforms seeking to democratize access to private markets and the companies whose equity is being tokenized without explicit partnership agreements.
