Funded Protocol brings decentralized prop trading to Robinhood Chain

Prop trading firms have operated the same way for decades: the firm puts up the capital, traders generate returns, and profits get split. Funded Protocol wants to flip that model on-chain, launching what it calls the first decentralized prop firm infrastructure, and it’s doing it on Robinhood’s brand-new blockchain. The protocol, now live on Robinhood Chain, allows users to deposit capital into prop trading setups and earn yield from the activity those firms generate. Think of it as a DeFi wrapper around the prop trading business model, where liquidity providers replace the traditional firm’s balance sheet. Robinhood Chain sets the stage Robinhood Chain went live with its public mainnet on July 1, 2026, built on Arbitrum technology as an Ethereum Layer 2 network. The chain was specifically designed around tokenized real-world assets, supporting ERC-20-compatible stock tokens backed at a 1:1 ratio by underlying securities. Speed and cost were clear priorities. The chain boasts block times of roughly 100 milliseconds and low transaction fees, both essential for the kind of high-frequency activity that prop trading demands. The initial ecosystem launched with a curated set of partners...