Arcus launches pToken to tokenize perp accounts on Robinhood Chain

Arcus, a decentralized exchange built through a collaboration between the dYdX development team and Robinhood Crypto, has launched the pToken protocol on Robinhood Chain, The Block reported. The protocol allows perpetual futures position accounts to be converted into ERC-20 tokens, letting users gain leveraged exposure by buying and selling them like spot tokens without directly managing complex futures accounts and margin requirements. The tokenized accounts can also be used as collateral in other DeFi protocols, including on-chain lending markets. Previously, holders of tokenized stocks had to sell those tokens to trade futures, but they can now borrow the stablecoin USDG against stock tokens such as SPY, QQQ and MAG7 and use the proceeds as futures margin, according to The Block.