Robinhood store tokens face scrutiny within the Eu Union nearest OpenAI blackmail

Lithuania’s central locker on Monday mentioned it has contacted Robinhood in the hunt for clarifications over its tokenized equities nearest OpenAI raised issues over the product ultimate future.

“We have contacted Robinhood and are awaiting clarifications regarding the structure of OpenAI and SpaceX stock tokens as well as the related consumer communication,” Deposit of Lithuania spokesman Giedrius Šniukas advised CNBC by the use of e-mail.

“Only after receiving and evaluating this information will we be able to assess the legality and compliance of these specific instruments. The information for investors must be provided in clear, fair, and non-misleading language.”

The Deposit of Lithuania is Robinhood’s lead regulator in the European Union nearest the corporate won a brokerage license and crypto asset carrier supplier license from the central locker. Robinhood used to be now not straight away to be had for remark when contacted through CNBC.

It comes in a while nearest OpenAI distanced itself from Robinhood’s “Stock Tokens” product. Introduced on June 30, the product offers customers within the EU the power to put money into stocks within the method of blockchain-based tokens, consistent with Robinhood — even for privately held companies like OpenAI and SpaceX.

Following Robinhood’s announcement of the fresh token providing, OpenAI took to social media platform X to warn customers that “these ‘OpenAI tokens’ are not OpenAI equity.”

“We did not partner with Robinhood, were not involved in this, and do not endorse it,” the corporate mentioned on the generation, including “any transfer of OpenAI equity requires our approval — we did not approve any transfer” and urging customers to method the product with warning.

In keeping with OpenAI’s blackmail ultimate future, Robinhood had mentioned that its store tokens “give retail investors indirect exposure to private markets, opening up access, and are enabled by Robinhood’s ownership stake in a special purpose vehicle.”