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Robinhood Chain nears $1B TVL with Uniswap driving liquidity: Standard Chartered

Created at 13 Aug · 5:41 PM1 source↑ Market-relevant
IN SHORT

Standard Chartered noted Robinhood Chain's total value locked has reached nearly $1 billion, largely driven by Uniswap. The partnership is accelerating UNI token burns, with protocol fees from Robinhood now the largest source.

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Key Numbers

$1 billionRobinhood Chain total value locked
194,000Robinhood Chain daily active users in first week
$90 millionAnnualized pace of UNI token burns
4%Annual UNI token burn of circulating supply
$160Bernstein price target for HOOD stock
4%HOOD shares up on Thursday
30%HOOD shares six-month gains

Who's Involved

Standard Chartered
Financial institution providing analysis on Robinhood Chain
Geoffrey Kendrick
Analyst at Standard Chartered
Robinhood
Brokerage operating Robinhood Chain
Uniswap
Decentralized exchange protocol
Bernstein
Investment research firm

↳ Why This Matters

The rapid growth of Robinhood Chain and its reliance on Uniswap highlight the increasing integration of traditional finance with decentralized technologies. This development could set a precedent for how new blockchains attract liquidity and could significantly influence the token economics of major DeFi protocols like Uniswap.

Key facts

  • Robinhood Chain's total value locked (TVL) has grown to nearly $1 billion.
  • Uniswap is providing the majority of liquidity for Robinhood Chain.
  • Robinhood-related fees are now the largest contributor to UNI token burns.
  • The UNI burn rate has approximately doubled since late July.
  • Robinhood Chain aims to bring real-world assets onchain.

Standard Chartered analysts report that Robinhood Chain has rapidly accumulated nearly $1 billion in total value locked (TVL), largely due to its integration with Uniswap. This partnership is seen as a critical step in overcoming liquidity challenges for new blockchains, allowing Robinhood to leverage established decentralized finance infrastructure.

The collaboration is also significantly impacting Uniswap's tokenomics. Protocol fees generated through Robinhood's activities have become the primary driver for UNI token burns, effectively doubling the burn rate since late July. This accelerated burn rate suggests a potential impact on UNI's circulating supply.

Robinhood Chain, launched on July 1, focuses on tokenizing real-world assets and has experienced rapid adoption, attracting 194,000 daily active users in its initial week. This expansion into blockchain technology is part of Robinhood's broader strategy to diversify beyond traditional stock trading, encompassing cryptocurrencies, prediction markets, and tokenization. Wall Street analysts, including those at Bernstein, have taken note, with Bernstein raising its price target for Robinhood's stock (HOOD) to $160, citing tokenization and prediction markets as key growth areas.

Frequently asked questions

Total Value Locked (TVL) is a metric used in decentralized finance (DeFi) to measure the total value of assets deposited in a decentralized application or blockchain protocol. It indicates the protocol's liquidity and user adoption.

A UNI token burn refers to the permanent removal of UNI tokens from circulation. This is often done by sending tokens to an unrecoverable address, which can reduce the total supply and potentially increase the value of remaining tokens.

Robinhood Chain is a blockchain developed by the brokerage firm Robinhood, designed to facilitate the tokenization of real-world assets and expand the company's offerings beyond traditional stock trading.

What Happens Next

01Further monitoring of Robinhood Chain's TVL growth.
02Tracking the impact of UNI token burns on circulating supply.
03Observing Robinhood's continued expansion into tokenization and prediction markets.

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How It Developed

Robinhood Chain has grown to nearly $1 billion in total value locked.
Uniswap is meeting virtually all of Robinhood Chain's liquidity needs.
Protocol fees generated through Robinhood are now the largest source of UNI token burns.
The UNI burn rate has roughly doubled since a Robinhood-linked fee switch was activated on July 27.
Robinhood Chain launched on July 1 with a focus on bringing real-world assets onchain.
Robinhood Chain reached 194,000 daily active users during its first week.
Analysts at Bernstein raised their price target for Robinhood (HOOD) stock to $160 per share.

Sources

T1
Robinhood Chain nears $1B TVL as Uniswap drives liquidity: Standard CharteredStandard Chartered said Robinhood’s Uniswap integration could solve a key challenge for new blockchains while accelerating UNI token burns.Cointelegraph

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