Robinhood CEO responds to AMC criticism: Public companies cannot control tokenization of their stocks

Odaily Planet Daily News In a recent interview, Robinhood CEO Vlad Tenev responded to AMC's criticism by stating that once a public company's stock is publicly traded, other financial institutions should have the right to issue financial products related to those stocks without requiring prior permission from the stock issuer.

Vlad Tenev stated that publicly traded stocks are essentially transferable property held by shareholders, and therefore other financial institutions should be able to launch financial products referencing such stocks without needing permission from the issuer. He specifically noted that Robinhood's stock tokens are issued by independent entities and backed by the corresponding underlying stocks, and therefore should not automatically require prior consent from the relevant listed companies.

AMC CEO Adam Aron previously criticized Robinhood's tokenization of AMC stock, arguing that it bypasses the issuing company and disrupts the traditional relationship between the company and its shareholders, noting that stock token holders do not possess voting rights tied to the underlying shares. As for how Robinhood intends to exercise the voting rights associated with the underlying stock, Adam Aron said the company has not yet disclosed a specific plan. (CNBC)