Kraken and Backed Launch Tokenized U.S. Stocks on BNB Chain

Kraken and Backed have joined forces to introduce tokenized U.S. stocks on the BNB Chain, marking a significant development in the decentralized finance (DeFi) ecosystem. This collaboration brings tokenized equities such as AAPLx, TSLAx, and NVDAx to the BNB Chain as BEP-20 tokens, aligning with Kraken's vision of creating chain-neutral and composable capital markets.

Non-U.S. users of Kraken will benefit from enhanced access to these tokenized stocks, which are designed to function as public-good assets within the DeFi ecosystem. According to Adam Levi, Co-founder of Backed, tokenized equities have the potential to rival stablecoins in terms of utility within DeFi. This move is part of Kraken's broader strategy to make capital markets more accessible and versatile, leveraging the speed, low cost, and global user base of the BNB Chain.

Kraken's Arjun Sethi emphasized the future direction of capital markets, stating, "The future of capital markets will be chain-neutral, composable and multichain by design." This expansion is not just about making U.S. stocks more accessible; it is about creating a more integrated and versatile financial system. Tokenized equities on the BNB Chain will enable users to trade these assets 24/7, deposit and withdraw them using the BNB Chain, and utilize them in various DeFi applications.

This development is part of a broader industry trend where other exchanges, such as Bybit, Gemini, and Bitget, have also begun offering tokenized stocks. Traditional finance firms are urging regulators to block crypto companies from offering tokenized stocks, highlighting the growing recognition of tokenization as a significant trend. Financial experts are increasingly viewing investments in top blockchains and companies operating in this area as prudent moves for long-term growth.