The SEC has approved a five-year exemption letting real, one-to-one backed stock tokens trade on blockchains without exchange registration or best-price rules, which is good news for crypto holders, Robinhood and stock prices, but it comes at the cost of less transparency for investors.

• The rule change came just days after the Clarity Act crypto bill failed in Congress, and reads as a way to give the crypto community a win before the midterms.
• Crypto investors sitting on big untaxed gains can now borrow against their coins and buy stocks in one combined margin account, without selling and paying tax.
• Tokenizing shares pulls real stock out of normal markets and lets anonymous overseas wallets buy US stocks, which could push hundreds of billions of dollars into the market and lift prices.
• Robinhood wins big because tokenized stocks will have wide spreads, so it could earn several times more per trade than it does on regular stocks, and its equities revenue could double.
• Robinhood stock jumped on the news and Bitcoin climbed back above $80,000.

Outlook: Rollout will take months, but Robinhood could rise another 20 to 30 percent as this gets priced in, and the stock market bubble is likely to inflate further before any tightening hits harder.