AMC chief criticizes Robinhood’s tokenized stock plan

Adam Aron, the CEO of AMC Entertainment Holdings, criticized Robinhood’s tokenized stock offerings that provide economic exposure to AMC shares, stating the company has no affiliation and that it will have a securities counsel investigate the matter.

Robinhood’s stock tokens are not registered under US securities laws and are an “outrageous” offering with no affiliation to AMC, Aron wrote in a Friday X post, adding that the company will request an investigation from its outside securities counsel.

Aron added that these stocks may not be offered to US investors and that they are subject to restrictions in several other jurisdictions, including Canada, Switzerland and the UK.

The remarks come as the latest criticism targeting tokenized stocks, which are blockchain-based shares tracking the price of traditional company shares. Tokenized stock recently came under scrutiny when some crypto exchanges canceled their SpaceX IPO allocations earlier in June.

Platforms including Bybit, Binance, Bitget Wallet and MEXC canceled their tokenized SpaceX IPO campaigns as SpaceX went public on the Nasdaq, with several blaming Kraken-owned xStocks’ inability to deliver the underlying assets.  

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