KuCoin Launches xStocks for USDT Trading of Top Equities

KuCoin, a leading global cryptocurrency exchange, has launched xStocks, a new feature that allows users to trade tokenized versions of top equities such as Tesla, NVIDIA, and MicroStrategy using USDT. This move marks a significant step in integrating traditional finance with decentralized finance, enabling over 41 million users across more than 200 countries to trade these assets within a single, crypto-native account.

xStocks are tokenized representations of real-world equities and ETFs, including high-demand assets like the S&P 500 ETF, Tesla, MicroStrategy, NVIDIA, and Circle. These tokens are issued on the Solana blockchain, ensuring fast and low-cost transactions. Each token is fully backed by the corresponding stock held in regulated custodial accounts, providing a 1:1 representation of the underlying asset.

The launch of xStocks comes at a time of strong growth in both traditional and digital asset markets. NVIDIA recently became the first company to exceed a $4 trillion valuation, while Bitcoin crossed the $120,000 mark. This dual-cycle momentum allows crypto users to capitalize on the growth of both markets by offering USDT-based access to top U.S. equities, instant 24/7 trading without reliance on fiat, and frictionless portfolio allocation between stocks and crypto.

KuCoin's CEO, BC Wong, highlighted the strategic importance of this launch, stating that it bridges traditional finance and the Web3 ecosystem. The integration of tokenized equities within the crypto ecosystem allows for enhanced capital efficiency, risk diversification, and portfolio agility, unlocking new opportunities for both institutional and retail participants.

Backed, the issuer of xStocks, ensures full regulatory alignment. Assets are tokenized under an EU-approved prospectus, and tokens are structured under the Swiss DLT Act. Proof of Reserves, powered by Chainlink, is coming soon, and token holders have primary claims on the underlying collateral. This foundation of compliance and transparency aims to differentiate xStocks from earlier attempts at on-chain synthetic equity trading.

KuCoin's global footprint allows users to bypass traditional limitations in equity investing. With xStocks, users can trade U.S. stocks using USDT with no fiat on-ramps. They can also seamlessly swap between crypto and equities in one account and build custom portfolios that blend stable ETF exposure with high-growth tech stocks and digital assets. This evolution positions KuCoin as a global, multi-asset platform that empowers investors across borders.

Founded in 2017, KuCoin has grown into one of the most trusted crypto exchanges globally. The platform offers over 1,000 digital assets, including Spot and Futures trading, DeFi wallets, payments, and now tokenized equities. It has earned accolades from Forbes and Hurun and maintains top-tier security certifications (SOC 2 Type II, ISO 27001:2022).

Backed is a Swiss-based tokenization company focused on issuing legally compliant, freely transferable tokenized versions of traditional financial assets. Its tokens are compatible with both the Ethereum and Solana ecosystems, ensuring broad accessibility and interoperability.