Buying Meme Coins That Buy Stocks Is Now Trending in the US [Weekend Money]
On the Robinhood blockchain network (Robinhood Chain), operated by U.S. online brokerage Robinhood, "stock-linked meme coins"—which connect virtual assets to traditional stocks—are emerging as a new investment trend.
According to NH Investment & Securities, a recent trend within the Robinhood Chain involves meme coins that automatically execute orders to purchase linked stocks whenever a user buys certain meme coins. This order-routing method is gaining popularity among users.
For example, if a user purchases the AI (Artificial Inu) token with a stablecoin, an order is automatically executed to buy the Nvidia stock token, and then the AI token is purchased using the Nvidia stock token. Due to this structure, as buying demand for meme coins increases, the trading volume of the associated real stocks is also affected.
The motivations among investors are also unique. NH Investment & Securities analyzed that users tend to feel greater interest and a sense of belonging when purchasing stock-linked meme coins compared to regular stocks. In particular, there are some users who believe that buying these meme coins could trigger a GameStop-style short squeeze in the related underlying stocks.
From Robinhood’s perspective, this phenomenon is providing an opportunity to attract younger investors, including those belonging to Gen Z and Gen Alpha, to both coin and traditional stock trading. Hong Sunguk, a researcher at NH Investment & Securities, commented, "As a result of Robinhood permitting experimental activities within its chain, the number of wallets holding stock tokens surpassed 900,000 in just two months, showing rapid activation. The Robinhood CEO has also spoken positively about alternative structures, such as rewarding users with stock tokens when they purchase meme coins. Robinhood’s proactive approach to these experiments is expected to contribute to the development of the Robinhood Chain ecosystem and future monetization prospects."
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However, caution regarding potential risks is also needed. Robinhood has initially limited legal risks by excluding jurisdictions like the United States—where regulations are strict—from its services, but there remains a possibility of sanctions from authorities in other countries. Hong Sunguk, a researcher at NH Investment & Securities, noted, "If these experiments remain confined to meme coins alone, there is a risk that users may turn away due to volatility and potential losses."
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