Robinhood's OpenAI tokens aren't actually OpenAI stock 🤷‍♂️💰; Ripple joins banking revolution as crypto firms rush for bank charters 🤑🏦; Wise pursues US banking licence 🏦🇺🇸

You're missing out big time... Weekly Recap 🔁

👋 Hey, Linas here! Welcome back to a 🔓 weekly free edition 🔓 of my daily newsletter. Each day, I focus on 3 stories that are making a difference in the financial technology space. Coupled with things worth watching & most important money movements, it’s the only newsletter you need for all things when Finance meets Tech.

If you’re not a subscriber, here’s what you missed this week:

1. The Ultimate Beginners Guide to AI 📚🤖 [5,500+ pages of knowledge to transform your understanding from beginner to AI authority]

2. The Ultimate List of Resources about Stablecoins 🪙 [your one-stop resource list for understanding the most disruptive force in global finance]

3. The AI Agent Revolution Has Begun 🤖📈 [how top tech firms are turning AI agents into revenue engines, efficiency machines, and unfair advantages - fast]

4. Chinese tech giants push for yuan stablecoins to challenge dollar hegemony 🪙🇨🇳 [what it’s all about, why it matters & what to expect next + bonus list of ultimate resources on stables]

5. Robinhood goes all in on crypto as it wants to become the global financial Super App 😤💸 [what it’s all about, why it could be huge & how Robinhood is rewriting the rules of investing + bonus deep dives into Robinhood & co.]

6. $43 billion stablecoin giant Circle to become a bank? 😳🏦 [what it’s all about, why it strategically makes a ton of sense & what to expect next + bonus deep dives into Circle & the ultimate list of stablecoin resources]

7. Coinbase doubles down on token infrastructure with Liquifi acquisition 😤💸 [what’s the rationale here & what role this M&A has in Coinbase’ strategy + bonus deep dive into the digital asset giant]

8. Paxos MiCA-compliant stablecoin comes to Europe 💸🇪🇺 [what it’s all about & what to expect next + bonus list of ultimate stablecoin resources]

9. European payments giant Worldline faces criminal investigation as regulators circle 👨🏼‍⚖️💳 [holistic recap of the situation, what it tells us about Worldline and what it means for the future of FinTech as a whole]

10. Coinbase to transform US crypto trading with regulated perpetual futures 🤑📈 [what’s the play here & why it matters + bonus dives into Coinbase and its biggest competitor Robinhood that’s just rewritten the rules of investing]

11. The Ultimate List of Resources about AI Agents 🤖 [unlock the power of AI Agents: your gateway to the future of autonomous agentic systems]

12. 🚀 The Ultimate Startup Growth Toolkit 🚀 [fundraising templates, PMF frameworks, tech guides, and growth playbooks used by billion-dollar companies - now in your hands]

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As for today, here are the 3 incredible FinTech stories that are transforming the world of financial technology as we know it. This was yet another solid week in the financial technology space, so make sure to check all the above stories.

Robinhood's OpenAI tokens aren't actually OpenAI stock, here's what you're really buying 🤷‍♂️💰

The news 🗞️ WealthTech giant Robinhood HOOD 0.00%↑ recently launched tokenized equity products for prominent private companies, including AI giant OpenAI and Elon Musk’s SpaceX, exclusively targeting European customers.

The initiative was all about democratizing access to high-value private investments typically reserved for wealthy or institutional investors. However, the venture quickly encountered significant opposition from OpenAI, which publicly disavowed any involvement with the offering.

Let’s take a look, understand the key details, and what’s next.

More on this 👉 OpenAI issued a stark warning through its official channels, clarifying that the tokens do not represent actual company equity and emphasizing that any legitimate transfer of OpenAI shares requires explicit company approval, which was never granted.

The artificial intelligence company urged potential investors to exercise caution, stating they neither partnered with Robinhood nor endorsed the tokenization effort.

So what does this all mean? 🤔

At the core, the tokenized products operate through Special Purpose Vehicles (SPVs), where Robinhood holds actual shares and issues tokens representing claims on these vehicles rather than direct ownership of the underlying companies. This structure introduces multiple layers of complexity and risk that many retail investors may not fully comprehend.

That said, there are 4 critical risk categories associated with these products.

• Liquidity constraints can create artificial price premiums, potentially disconnecting token values from underlying asset fundamentals.

• Limited supply of tokenized shares relative to demand may lead to speculative bubbles.

• Information asymmetry leaves token holders without access to crucial financial data or voting rights typically associated with equity ownership.

• Additionally, the regulatory framework governing tokenized assets remains less mature than traditional securities protections.

Zoom out 🔎 The market initially responded favorably to Robinhood's announcement, driving the company's stock to all-time highs.

However, shares declined following OpenAI's public rejection.

The European-only launch also reflects differing regulatory environments, as United States securities laws restrict private equity access to accredited investors.

✈️ THE TAKEAWAY

What’s next? 🤔 At the core, the outcome of this clash might influence how financial technology companies approach the tokenization of private assets and whether they pursue partnership-based models versus unilateral tokenization strategies. When it comes to Robinhood, this yet again highlights the importance of securing explicit consent from private companies before tokenizing their equity. The platform's success in this space will depend on building collaborative relationships with target companies rather than proceeding without authorization. Looking ahead, we can expect private companies to increasingly assert control over how their equity is represented in tokenized formats, potentially leading to industry-wide standards for authorized tokenization. Success in this space will definitely require transparency about the underlying mechanics, robust risk disclosure, and clear differentiation between tokenized exposure and actual equity ownership. Zooming out, it’s worthwhile to note that the tokenization revolution that Robinhood envisions remains possible, but this episode demonstrates that sustainable growth requires careful navigation of regulatory requirements, corporate consent, and investor education rather than purely technological innovation.

ICYMI: Robinhood goes all in on crypto as it wants to become the global financial Super App 😤💸 [what it’s all about, why it could be huge & how Robinhood is rewriting the rules of investing + bonus deep dives into Robinhood & co.]

Ripple joins banking revolution as crypto firms rush for bank charters 🤑🏦

The news 🗞️ XRP & RLUSD issuer Ripple Labs has officially applied for a national banking license with the Office of the Comptroller of the Currency, marking another significant step in the industry's push towards cryptocurrency mainstreamification.

The move positions Ripple alongside other major crypto firms seeking federal banking approval, including Circle and BitGo, which have submitted similar applications in recent days.

Let’s take a look at this, understand why it matters, and see what’s next.

More on this 👉 The banking charter application would bring Ripple's dollar-backed stablecoin, RLUSD, under direct federal oversight while maintaining its existing state-level regulation through the New York Department of Financial Services. This dual regulatory framework represents what Ripple CEO Brad Garlinghouse describes as a "new benchmark for trust in the stablecoin market."

Simultaneously, Ripple's subsidiary Standard Custody & Trust Company has applied for a Federal Reserve master account, which would enable the company to hold stablecoin reserves directly with the central bank and process transactions outside traditional banking hours. This infrastructure access could significantly enhance Ripple's operational capabilities and provide additional security layers for its RLUSD stablecoin. Makes sense!

Zoom out 🔎 We must note that the timing of these applications coincides with advancing congressional legislation, particularly the GENIUS Act, which establishes regulatory frameworks for stablecoin issuers. Currently, only Anchorage Digital holds a federal bank charter among cryptocurrency firms, making this a relatively exclusive club that Ripple seeks to join.

RLUSD, launched in late 2024, maintains a market capitalization of approximately $469 million, positioning it as a smaller but growing competitor to established stablecoins like Tether and Circle's USDC.

The banking license announcement contributed to XRP's price increase of roughly 3-5%.

✈️ THE TAKEAWAY

What’s next? 🤔 First and foremost, this move further blurs the lines between cryptocurrency companies and traditional banking infrastructure. More importantly, the rush for federal banking charters reflects the industry's recognition that regulatory compliance and institutional legitimacy are essential for sustained growth and mainstream adoption. For Ripple specifically, obtaining a banking license could unlock significant opportunities in institutional markets, where large financial firms have remained cautious about engaging with crypto services lacking federal oversight. On top of that, the dual regulatory structure would likely attract institutional investors and corporate clients who require stringent compliance standards. Looking at the bigger picture, as crypto firms successfully obtain banking charters, traditional banks may face increased competitive pressure to innovate their payment systems and digital asset offerings. This convergence could thus accelerate the development of central bank digital currencies (CBDCs) and further modernize existing payment infrastructure.

ICYMI: $43 billion stablecoin giant Circle to become a bank? 😳🏦 [what it’s all about, why it strategically makes a ton of sense & what to expect next + bonus deep dives into Circle & the ultimate list of stablecoin resources]

Wise pursues US banking licence 🏦🇺🇸

The news 🗞️ Wise, the London-headquartered payments giant formerly known as Transferwise, has filed a regulatory application that could reshape its operational capabilities in the United States.

The company submitted its application to the US Office of the Comptroller of the Currency, seeking approval to establish a national trust bank charter that would provide direct access to Federal Reserve payment systems.

Let’s take a look at this.

More on this 👉 The proposed charter represents a strategic move to eliminate intermediary banking relationships for US dollar transactions, which currently constitute Wise's largest currency flow at nearly half of the company's total cross-border volume. If approved, the national trust bank would operate from Austin, Texas, where Wise already maintains approximately 450 employees and plans to expand staffing by 20% over the next three years.

This regulatory pursuit aligns with Wise's broader American expansion strategy, including the recently announced plan to relocate its primary share listing from London to the United States (more on this - below). The company serves nearly 13M customers globally, with 1.8M based in the US market, representing 20% of total revenue.

Wise has strengthened its American leadership team by recruiting former Goldman Sachs managing director Mike Boush, who previously led the Apple Card project.

Zoom out 🔎 The national trust bank charter would provide Wise with several operational advantages beyond direct Federal Reserve access. The company could consolidate its regulatory compliance by replacing the complex web of state-by-state money transmitter licenses currently required across different jurisdictions. Additionally, the charter would enable Wise to offer enhanced custodial services, moving US customers to either master trust accounts or custodial arrangements with US depository institutions.

Wise's application occurs within a broader industry trend of FinTech companies seeking enhanced banking privileges. Apart from the aforementioned Circle & Ripple, other payment firms, including Fiserv and Stripe have pursued narrow bank charters in Georgia.

This regulatory activity has gained momentum during President Trump's second administration, which has shown renewed openness to fintech banking charter applications after previous proposals faced significant opposition from traditional banking trade groups.

✈️ THE TAKEAWAY

What’s next? 🤔 At the core, success in obtaining the national trust bank charter could establish Wise as a pioneer in direct Federal Reserve integration, potentially setting precedents for other international FinTech companies seeking similar access to US payment infrastructure. More importantly, this development represents a significant evolution in the regulatory landscape, where FinTech firms are transitioning from technology-driven disruptors operating on the periphery of traditional banking to entities seeking direct integration with core financial infrastructure. Zooming out, Wise's application signals a maturation phase where established FinTech companies are pursuing regulatory pathways that provide greater operational control and reduced dependency on traditional banking partnerships. If successful, this could accelerate similar applications from other major FinTech players and potentially reshape competitive dynamics in cross-border payments and digital banking services. Bullish.

ICYMI: Wise's New York migration indicates deepening crisis for London's capital markets 👋🇬🇧 [London’s growing challenges, what it means for the future of Wise & FinTech per se + bonus deep dive into Wise & why you aren’t bullish on them enough]

🔎 What else I’m watching

• eToro Expands US Crypto Offerings 📈 eToro has expanded its US crypto offerings to over 50 assets, adding 34 new tokens, including Solana, Cosmos, and Hedera. This move aligns with eToro's strategy to provide diverse multi-asset investment options. The platform also offers equities, options, and ETFs, but crypto trading is restricted in certain jurisdictions. eToro aims to give retail investors greater flexibility in managing diversified portfolios. With 40 million users across 75 countries, eToro continues to focus on long-term wealth-building tools. Recently, eToro launched a recurring investment feature to help users automate purchases and reduce the market volatility impact. ICYMI: eToro’s IPO filing: from crypto winter to profit spring - a turnaround story with momentum 📈💸 [unpacking their IPO filing with latest financials & what’s next + bonus deep dive into Klarna’s IPO]

• BBVA Rolls Out GenAI Tools to 100,000 Employees via Google Cloud 🏦 BBVA is expanding its partnership with Google Cloud to deploy Google Workspace with Gemini, providing over 100,000 employees worldwide with secure generative AI tools. These tools, including Gmail, Google Docs, and Google Sheets, will help employees summarize, draft, and find information, as well as create professional documents and presentations. BBVA employees have reported saving nearly three hours per week by automating repetitive tasks. Additionally, employees will have access to the standalone Gemini app and NotebookLM for research and writing assistance. The bank has also launched a mandatory AI training program, 'AI Express,' to ensure responsible and effective AI adoption in line with BBVA's AI governance standards. ICYMI:

  The Ultimate Beginners Guide to AI 📚🤖

• Ant International Launches AI Travel Companion 🌍 Ant International introduces Alipay+ Voyager, an AI travel companion integrated into digital wallets to enhance travel experiences. Partnering with Agoda, Fliggy, and Trip.com, Voyager combines AI capabilities with cross-border travel services from 100 million global merchants. Available in Alipay, AlipayHK, and GCash, it assists travelers with itinerary planning, booking, and in-destination purchases via text or voice in their local language. Voyager offers intelligent end-to-end assistance, real-time global-to-local connections, and personalized curation. It also serves as a growth gateway for merchants and OTAs. ICYMI:

  The Ultimate List of Resources about AI Agents 🤖

💸 Following the Money

• Greek core banking vendor Natech has completed a Series B capital increase, securing over $33M in growth funding.

• Santander has reached an agreement to acquire UK lender TSB from Banco Sabadell for £2.65B in an all-cash transaction.

• Swedbank has acquired Stabelo, a tech-led mortgage business with a focus on younger, more digitally-aware customers.

👋 That’s it for today! Thank you for reading and have a relaxing Sunday! And if you enjoyed this newsletter, invite your friends and colleagues to sign up: