Robinhood says stock token volumes are nearing SEC exemption cap

Robinhood’s stock token trading volume is approaching the limit allowed under the U.S. SEC’s innovation exemption, Johann Kerbrat, the company’s crypto chief, told The Block. Kerbrat said the SEC exemption includes limits on trading volume and on the types of assets that can be tokenized. Based on Robinhood’s current stock token volume, the platform is likely to reach the allowed threshold soon, he said. Kerbrat added Robinhood plans to tokenize more U.S. stocks and ETFs as the SEC appears to understand the advantages of tokenization. Robinhood’s stock tokens are not available to U.S. users. The SEC’s five-year innovation exemption also caps the number of tradable listings and trading volume, while requiring the tokens to carry the same rights as the underlying shares, according to the interview.