Robinhood’s CEO Vlad Tenev Fires Back at AMC CEO in Escalating Fight over Stock Tokens
Vlad Tenev said tokenized stock holders lack voting rights and that public companies cannot block financial products built around their shares.
- On Wednesday, Robinhood CEO Vlad Tenev defended the company's tokenization efforts, asserting public companies cannot control financial products built around their shares once they go public, following fiery criticism from AMC CEO Adam Aron.
- Tokenization involves creating digital representations of publicly traded securities on a blockchain, a practice Aron argued undermines the relationship between companies and shareholders by allowing brokerages to create exposure to AMC stock without the Issuer's involvement.
- Tenev explained that stock tokens are debt securities backed by underlying shares, adding that "Issuer consent depends on what exactly you're doing" and these wrappers do not automatically require permission from the Issuer.
- In a CNBC "Squawk Box" interview, Tenev maintained that shareholders own transferable property and that financial institutions should be able to create products referencing those shares without asking the Issuer for permission.
- Holders do not have outright ownership of the assets themselves, nor do they receive voting rights in the underlying company, as the firm has not announced plans for the voting aspect.
16 Articles
16 Articles
Robinhood CEO says companies can't control how their stock is tokenized as AMC clash escalates
Robinhood's Vlad Tenev said public companies can’t control financial products built around their stock while acknowledging token holders don’t get voting rights.
Watch Different Use Cases For Different Tokenization: Krupetsky
Morgan Krupetsky, vice president of Onchain Finance at Ava Labs, joins Scarlet Fu and Tim Stenovec on "Bloomberg Crypto." They the recent spat between AMC and Robinhood over tokenized trading and the different use cases for different tokenization models.
Robinhood CEO Vlad Tenev Defends Stock Tokens After AMC Criticism
Robinhood CEO Vlad Tenev defended his company's tokenized stock products on CNBC, offering his first televised comments since AMC Entertainment chief Adam Aron went public with his objections. Aron has accused Robinhood of issuing unregistered tokens tied to AMC stock in violation of U.S....
Who buys a share token tied to AMC on Robinhood really thinks he owns a piece of America's most famous cinema? The answer, arrived directly from the founder of the platform, complicates this illusion. Robinhood's CEO, Vlad Tenev, explained in an interview that Robinhood share tokens should not automatically request consent [...]
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