AMC CEO Demands Robinhood Stop Trading Tokenized Shares

Adam Aron, CEO of AMC Entertainment Holdings Inc., demanded that Robinhood Markets Inc. cease and desist the trading of tokenized AMC shares. Aron described the product as "contemptible" and "outrageous," arguing that the synthetic equity structure creates a "quasi-fake market" that could confuse investors, strip them of voting rights, and hinder corporate fundraising.

Robinhood's on-chain Stock Tokens are issued by Robinhood Assets (Jersey) Ltd. as tokenized debt securities. While these tokens provide economic exposure to US stocks, they do not grant legal or beneficial rights in the underlying companies and are not registered under US securities laws.

Aron indicated that AMC would raise the issue with the United States Securities and Exchange Commission. This dispute arrives as the SEC prepares a September 17 roundtable to discuss 24-hour US equities trading and as traditional exchanges explore their own tokenized-share initiatives.