Unlock Crypto’s Future: Kraken’s 50+ Tokenized Stocks & ETFs Revolutionize Investing

Kraken Launches Tokenized U.S. Stocks for Global Investors

Kraken, a popular crypto exchange, is set to introduce tokenized versions of major U.S. stocks. This move will allow international users to trade tokenized stocks of companies like Apple, Tesla, and Nvidia, along with the SPY ETF.

The new product, called “xStocks,” will be available on the solana blockchain. It will let users trade over 50 tokenized stocks and ETFs 24/7. Each token will be backed by the actual stock,ensuring its value matches the market price.

Backed Finance, Kraken’s partner, will handle the purchase and custody of the real shares.This ensures the token prices stay accurate. Users can also redeem tokens for their cash value.

The service will target customers in europe, Latin America, Africa, and Asia. U.S. users are excluded due to regulatory restrictions.

Arjun Sethi, Kraken’s co-CEO, said, “We’re making it easier for global investors.” He noted that overseas investors often face high fees and long wait times when buying U.S. stocks through local brokers.

Tokenized stocks are not new. Binance tried a similar service in 2021 but stopped due to regulatory issues. Kraken is working closely with regulators to avoid the same problems.

This move comes as big players like BlackRock and Robinhood show interest in tokenization.U.S.lawmakers are also reconsidering rules for crypto-based financial products.