Relay warns: Fraud tokens in wallets on Robinhood chain are disappearing

Relay warns users that malicious tokens appear on Robinhood Chain, which will automatically disappear from their wallets after purchase. The multi-chain payment and bridging platform said it is blocking identified fraudulent tokens and verifying legitimate assets. Relay also clarified that the relevant reports did not involve wallet breaches or private keys leaked. The warning was issued after the Robinhood Chain public chain main network was launched on July 1, which brought early attention to token-level risks in the newly open blockchain ecosystem.

We have noticed reports that after purchasing tokens on Robinhood Chain, they disappear from the wallet. Recently, there have been a large number of fraudulent tokens designed to be automatically removed after purchase. If you purchase such tokens, the money spent will not be recoverable. We are blocking these tokens...

Relay blocks malicious tokens

Relay said that affected tokens are designed to be automatically removed from buyers wallets after the transaction is completed. Users may lose funds used for purchases, but their private keys and other unrelated assets in their wallets are not affected. The company said it has taken the following countermeasures:

Block tokens identified as malicious
Verify legitimate assets
Guide affected users to contact Relay support team
Suggest users to trade verified tokens

Relay did not disclose the number of users affected or the total amount of losses. The warning also did not indicate that Robinhood Chain, Relay\'s infrastructure or user wallets had been compromised. Affected users are directed to the Relay support team, which can provide guidance on transaction issues, fraud, security risks and loss prevention.

The warning comes as Robinhood is expanding its encryption infrastructure

Robinhood launches Robinhood Chain\'s public chain main network on July 1, 2026. The company describes it as a permissionless Layer 2 blockchain built on Arbitrum technology designed to support tokenization of real-world assets, decentralized applications and on-chain financial services.

Robinhood Chain has also adopted a new Arbitrum revenue sharing model. Under the arrangement, 10% of eligible agreement fees generated by the network will flow back to the Arbitrum ecosystem, with 8% allocated to the Arbitrum DAO treasury and 2% for developer funding.

Because the network is permissionless, independent developers can deploy token contracts without Robinhood having to approve assets individually. Relay\'s warning targets malicious tokens created on the Internet, not products officially supported by Robinhood.

The launch of the chain is part of Robinhood\'s further foray into the digital asset space. The company also completed its acquisition of Canadian crypto platform WonderFi in June, bringing regulated exchanges Bitbuy and Coinsquare into its business.

There is no evidence that Robinhood Chain\'s underlying network, verifier or consensus system has been compromised.

Token scanning for early cyber risks

Blockaid added trading and token scanning support to Robinhood Chain when it was launched on its main network. The security company said the launch of new blockchains often attracts attackers, who create counterfeit tokens, fraudulent contracts and fraudulent authorization requests, while users are still learning which assets and applications are legitimate.

Blockaid\'s integrated scans include the following:

Assets that may be transferred by transactions
Permissions granted by users
Contracts involved in transactions
Counterfeit and honeypot tokens
Suspicious payers and signature requests

These checks are designed to identify threats before users sign transactions. Relay\'s warning highlights the difference between malicious assets and network-level vulnerabilities. Existing information points to harmful token contracts deployed on Robinhood Chain, not the blockchain itself or the user\'s private key being compromised.