Robinhood’s stock hit record highs with its crypto token launch, but shares slid after OpenAI denied involvement, warning the tokens aren’t legitimate equity.

Robinhood launched tokenized stocks on June 30, providing EU-based users with blockchain-based access to shares, including those of private companies such as OpenAI and SpaceX. However, OpenAI emphasized that any transfer of its equity requires their approval, which was not given.

Robinhood said users in Europe could trade tokenized versions of popular stocks, including shares of private companies like OpenAI. Here's what to know.