Stock Tokens, explained: what you get and what you don't

RECEIPT rewards are paid in Stock Tokens. The name sounds simple, and it is easy to read more into it than it holds. This article covers what a Stock Token is, what holding one gives you, and what it does not.

What a Stock Token is

Stock Tokens are issued by Robinhood Assets (Jersey) Limited. Legally, each one is a debt security whose value is designed to follow the price of a listed company's share. On Robinhood Chain they exist as standard ERC-20 tokens, so they can sit in a compatible wallet and move like other tokens on the network.

Robinhood Chain is a layer 2 network built on Arbitrum Orbit. Prices for many Stock Tokens are published on-chain by Chainlink feeds, and corporate actions such as splits are handled by an on-chain multiplier, so the token keeps tracking the share after the event.

What you get

• Price exposure. When the company's share price moves, the value of the Stock Token is designed to move with it.
• A token in your own wallet. Once your rewards have vested and are unlocked, RECEIPT sends them to your wallet on payday, every Friday.
• A record you can check. Balances and transfers live on a public chain, so you don't have to trust a screenshot from us.

What you don't get

This is the part most stock-reward marketing skips. A Stock Token is not a share, and holding one does not make you an owner of the company.

• No shareholder rights: no vote at general meetings and no say in how the company is run.
• No dividends paid to you as a holder.
• No right to receive an actual share. Settlement is in cash only.

That is why RECEIPT never promises that you will own a company, and why we only ever call these tokens Stock Tokens. Our tagline, "You get receipts every day. Earn stocks from them.", says exactly what happens and nothing more.

A Stock Token tracks a price. It does not come with a seat at the table.

Where they are available

Stock Tokens come with selling restrictions set by their issuer. They are not available to U.S. persons, nor to residents of Canada, the United Kingdom, Switzerland, the UAE and sanctioned countries. If you live in one of those places you can still look around RECEIPT, but you can't receive Stock Tokens.

Which Stock Tokens RECEIPT uses

Only Stock Tokens issued by Robinhood, checked against Robinhood's own asset registry. Look-alike tokens with familiar tickers exist on public chains, and a ticker alone proves nothing. Before a brand's Stock Token can be paid, three things must be true: it comes from the official issuer, its price can be read, and there is enough liquidity to buy the day's allocation without moving the price much. If one of these fails, that brand's rewards wait in USDG, a dollar stablecoin, until it passes.

Why price exposure is still interesting

Most cashback disappears into your next purchase. A Stock Token keeps following the company you bought from. If you pay for iCloud+ every month, your reward follows Apple's share price, up or down. It is a small, concrete link between what you spend and the companies you spend it with. The risk is just as real: prices can fall, and the value of your rewards falls with them.