Onchain Evolution Adds Another Growth Vector: From Crypto Trading to Tokenized Finance

Morgan Stanley initiates coverage of Robinhood Markets' onchain opportunity, arguing HOOD has moved beyond crypto trading into tokenized equities, onchain lending and owned infrastructure, adding another long-term growth vector. With 28m+ funded customers, established funding relationships and a track record of simplifying complex financial products, HOOD is broadening its exposure to digital assets and infrastructure via Wallet, Stock Tokens, Robinhood Earn, Bitstamp and Robinhood Chain. The team frames a "Robinhood Onchain Flywheel": a large installed base drives new products, activity and developer interest, which in turn supports selectively owning infrastructure and capturing better economics. Near-term chain revenue has ramped quickly, but activity remains crypto-native/memecoin driven with RWA and lending still small, so the recent run-rate should not be annualized;