Robinhood CEO Vlad Tenev recently highlighted the substantial efficiency benefits of crypto operations, arguing that the crypto business model outperforms traditional finance in both cost and customer service.
In a November 12 appearance on CNBC, Tenev revealed that running a crypto business costs “about an order of magnitude” less than traditional financial services.
Crypto vs TradFi
He emphasized that blockchain technology drastically reduces transaction and operational costs, giving crypto platforms a significant competitive advantage.
Tenev added that these savings allow crypto exchanges to offer features such as fractional asset trading and 24/7 market access – benefits that traditional financial systems would struggle to match.
While many industries continue to debate the future of digital assets, Tenev sees crypto as a crucial part of the next generation of financial services. The current regulatory landscape, which is heavily influenced by the SEC, has caused many crypto innovations to move offshore.
However, Tenev believes that recent statements from the Trump administration could pave the way for a more accommodative regulatory approach in the US.
He said during the interview:
The government is starting to see the potential of crypto. With the right framework, the US could become a global leader in crypto innovation.”
Rise of stablecoins
Tenev also pointed to the increasing global use of stablecoins, which now surpasses Visa in blockchain transaction volumes
He noted that the growth trajectory indicates that digital currencies are increasingly being used for major financial transactions worldwide, further demonstrating their efficiency and potential to integrate with traditional finance.
The growth is even more evident in emerging and developing economies, where people are increasingly turning to stablecoins to protect against high inflation and improve financial access.
Looking ahead, Tenev believes that stablecoins and tokenization will continue to evolve, driving broader cryptocurrency adoption. Industry leaders across the industry echo this sentiment, with many seeing stablecoins as a “linchpin” for global finance.
As more sectors of the economy embrace digital assets, Tenev expects the cost and efficiency benefits of crypto to become even more apparent, reshaping the financial landscape.