Rumors of a Robinhood Partnership Fuel Arbitrum Surge Before Crypto Event
The native token ARB of the Ethereum Layer-2 Arbitrum jumped over 17% in 24 hours amid speculation of a deal with U.S. trading platform Robinhood in recent news. Robinhood teased this post on X (formerly Twitter) that instigated the rally. The crypto community is expecting a big announcement with some prominent figures.
According to a post by Offchain Labs, Ethereum co-founder Vitalik Buterin doesn’t work on his projects. A fireside chat will be held Monday with Warner, creator of Arbitrum, and Robinhood Crypto general manager Johann Kerbrat. Robinhood Europe is promoting its Cannes, France event as the platform’s “biggest crypto announcement of the year.”
Hints Point Toward Arbitrum
In May, Bloomberg revealed that Robinhood was looking at blockchain solutions to help enable European investors to trade U.S. stocks. Speculation about a Robinhood-Arbitrum collaboration followed.
At the time, both Solana and Arbitrum were contenders.
Recent talks in the crypto world indicate that Arbitrum may indeed have won. An ex-Ethereum developer, Eric Connor, said on X, “Looks like Robinhood chose Arbitrum,” while Dragonfly partner Omar Kanji opined that “Ethereum + Arbitrum + RH can only mean one thing—Robinhood’s own blockchain announcement coming.”
ARB Token Sees Strong Rally
After the news broke, the price of the ARB token jumped from about $0.31 to an intraday high of $0.386, as per CoinGecko. Thus, making it the best-performing crypto asset of the day. ARB has increased by 93% in the last seven days, and over the last 24 hours, the price has spiked 39% to $0.37. Even after this increase, ARB is still down by almost 50% in 2023 and lost 85% of its peak value of $2.39 reached in January 2024.
Investors are closely following the renewed enthusiasm for ARB as they look for signals that institutions are adopting blockchain solutions.
Collaborating with Robinhood, which enrolls retail investors in both stocks and cryptos, can amplify Arbitrum’s reach and usage dramatically.
Robinhood Shares Also React
The excitement isn’t limited to crypto. Robinhood Markets Inc. (NASDAQ: HOOD) stock was also up in overnight trading, rising 1.65% from $83.03 to $84.26. Investors seem hopeful for Monday’s event, which may lead to a strategy that further weaves blockchain tech into Robinhood’s offerings.
As the cryptocurrency awaits confirmation, Monday’s event may be a major event for Arbitrum and the adoption of mainstream blockchain in the financial world.
