OpenAI rejects Robinhood’s unauthorised tokenised shares

Robinhood has started providing symbolic shares in private companies, which sparked a violent reaction from Openai as one of the targeted companies.

During an event at the Cannes Festival on Monday, the co -founder and executive director of Robinhood Vlad Tinif presented what he described as “stock icons” for Openai and Spacex. This step is part of the European expansion of Robinhood, which also includes providing more than 200 nominal shares of American stocks traded to the public to European Union users.

TENEV told the attendees that European users who download the Robinhood app will have the opportunity to have symbolic shares in the Openai and Elon Musk’s Exploration Venture Spacex, both private companies that have not announced plans for the public.

The trading platform on its website explains: “Robinhood stock icons follow stock prices and the investment funds traded in stocks-it is derivatives that follow on Blockchain, allowing you to be exposed to the United States market. When purchasing the distinctive codes of shares, do not buy actual shares-you buy symbolic contracts that follow their prices, registered registered.

This discrimination means that the distinguished symbol holders will not enjoy the rights of traditional shareholders, such as voting privileges, despite the financial exposure to companies.

OpenAi establishes Robinhood’s symbolic stocks

The advertisement sparked sharp reprimand from Openai. The prominent artificial intelligence company, under the leadership of Sam, denied any participation in the Robenol initiative.

“This” Openai Tokens is not Openai Equity, the company mentioned in a post on X. “We did not participate with Robinhood, we did not participate in this, nor support it. Any transfer from Openai’s property requires our approval – we have not faced any transfer. Please be careful.”

Industry observers note that the Robinhood approach appears to be designed to provide prices for basic stocks instead of actual property, which is likely to be organized in this way to move in complex regulatory requirements.

This mechanism carries similarities with offers from other financial technology companies. For example, Cryptocurrency offers Kaken platform called XSTOCKS that does not likely represent ownership of direct but supported shares instead of basic stocks.

The entry of Tokeenised shares such as Openai is the last effort of Robinhood to expand its scope in Europe with the expansion of its coded currency and block offers. During the same announcement, the company promoted the launch of the distinguished American stocks in Europe, as well as the possibilities of permanent trading and consumer for American users.

The effects of private market investment

If it succeeds, despite its recovery, it can add democracy to reach the desired private companies whose shares are usually available only to institutional investors and capitalists ’projects and accredited individual investors.

However, the controversy highlights the challenges of bringing innovation to the financial markets subject to regulation, especially when dealing with private companies that maintain tight control of property rights.

Financial experts warn that potential investors should understand the distinction between these distinctive derivatives and actual stock ownership. The proposal of value and risks is greatly different from the ownership of traditional stocks, even because it provides exposure to the investment opportunities that are previously impossible to reach.

The broader European expansion of Robinhood continues in full swing, as the company is keen to take advantage of the increasing interest in both American stocks and coercive currency investments among European merchants. Whether the issue of distinctive stocks, and the subsequent intellectual response from companies such as Openai, will help or hinder those aspirations that still have to be seen.

See also: Flooding interest in the Gigafactories plan in Europe

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