Robinhood launched Robinhood Earn on July 1, 2026, a savings product that lets users buy USDG, a 1:1 USD-backed stablecoin issued by Paxos, through Robinhood Crypto and lend it out via self-custody wallets for an estimated 7% APY.
The launch coincided with the public mainnet debut of Robinhood Chain, a Layer-2 network built on Arbitrum that supports tokenized stocks and decentralized finance activity.
How the yield actually works
Robinhood Earn routes USDG deposits into Morpho vaults, which allocate capital across different collateral markets to generate returns. The yield-bearing component of that system is spUSDG, powered by Spark. Spark handles the automated, transparent mechanism that turns idle stablecoin deposits into yield, without forcing users to interact with a decentralized finance interface directly.
USDG is issued by Paxos, maintains a 1:1 peg to the US dollar, and has a market capitalization exceeding $1 billion.
