AMC stock rises 21% as CEO attacks Robinhood over tokenized shares

AMC shares surge amid CEO dispute with Robinhood

AMC Entertainment Holdings stock rose nearly 21% in overnight trading on Thursday following a public attack by its CEO against Robinhood. Adam Aron criticized the fintech company for selling tokenized versions of U.S. stocks, calling the practice "outrageous" and "disgusting."

The rise in AMC’s share price came as the company’s leadership questioned whether Robinhood’s offerings comply with federal securities laws. Robinhood CEO Vlad Tenev replied briefly, asking Aron to clarify his concerns.

Key points of the dispute

• AMC CEO Adam Aron stated that tokenized U.S. stocks are not registered under federal securities laws.
• Arond claimed AMC had no connection to Robinhood’s tokenized product and did not condone it.
• Robinhood states its tokens give holders exposure to stock prices but do not grant legal ownership or shareholder rights.
• This follows a similar disagreement last year involving OpenAI, which rejected Robinhood’s tokenized shares of its private stock.

What the official sources say

In a social media post, Aron listed several strong words to describe the practice, including "contemptible" and "vile." He added that AMC would have its outside securities counsel review the matter immediately. Tenev’s response was brief: "What's the concern?"

Robinhood’s own FAQ explains that the stock tokens are debt securities issued by an offshore affiliate. The platform admits these tokens have not been registered as securities in the United States and may not be offered there.

Broader context for tokenized stocks

Tokenized stocks allow investors to trade exposure to real-world assets using cryptocurrency wallets. This format offers benefits such as round-the-clock trading and faster settlement times compared to traditional markets. According to The Block’s data, the total market cap for tokenized stocks reached $13.4 billion as of Sept. 1, up from $2.5 billion earlier in the year.

Why this matters

The conflict highlights growing tension between traditional companies and crypto platforms regarding how equity and corporate rights are handled in digital formats. Investors are watching to see if regulatory scrutiny will increase over unregistered tokenized securities.

What is confirmed

AMC stock jumped 21% overnight to $3.07. Adam Aron publicly denounced the tokenized shares. Robinhood acknowledged the tokens are not registered U.S. securities.

What remains unclear

It is unknown whether U.S. regulators will take action against Robinhood based on Aron’s complaints. Robinhood has not provided a detailed defense beyond Tenev’s short question.

Source

• The Block