Solana News Today: Galaxy Builds Bridge Between Wall Street and Blockchain With Real Equity on Solana

Galaxy Digital (GLXY), a digital asset investment firm listed on Nasdaq and the Toronto Stock Exchange, has taken a significant step in the evolution of traditional finance by tokenizing its Class A common stock on the Solana blockchain. This initiative, conducted in partnership with financial technology firm Superstate via its Opening Bell platform, represents the first instance of a publicly traded company tokenizing its SEC-registered equity directly on a major blockchain. The move aims to merge the benefits of blockchain—such as transparency, fast settlement, and 24/7 availability—with the compliance and legal structure of traditional equity markets [1].

Unlike synthetic or wrapped tokenized stocks, which do not directly involve the issuer and may lack full shareholder rights, Galaxy’s tokenization effort is built on direct, on-chain issuance of its actual shares. Superstate acts as the SEC-registered transfer agent, instantly recording ownership changes as tokens move between verified wallets. This process preserves the legal status of Galaxy’s equity, ensuring that tokenized shares confer the same rights as traditional stock [2].

The tokenization of public equities is gaining traction globally, with several platforms emerging to facilitate the process. For example, Backed Finance’s xStocks platform has tokenized over 60 public companies on Solana, BNB Chain, and Tron. Tokenized versions of major corporations such as Netflix, Meta Platforms, and Nvidia are now available on centralized exchanges like Kraken and Bybit, as well as decentralized exchanges on the Solana network. xStocks recently expanded its offering to the Ethereum blockchain, highlighting the growing interest in on-chain equity access [3].

Regulatory scrutiny, however, remains a key concern. In the EU, European Securities and Markets Authority (ESMA) has warned that tokenized stocks may lead to investor misunderstanding, as many do not confer actual shareholder rights. Instead, investors hold tokens issued by intermediaries, which may entitle them to payouts based on the underlying equity’s performance. These concerns reflect a broader debate about the legal and functional clarity of tokenized assets, with regulators emphasizing the need for transparency and safeguards [4].

Galaxy’s move on Solana could serve as a model for future tokenization efforts, particularly given its focus on regulatory compliance and on-chain infrastructure. The company’s shares will be accessible to approved investors with KYC verification, who can hold and transfer them using crypto wallets. The token’s Solana contract address has been provided to ensure authenticity, with Galaxy cautioning against fraudulent tokens from other addresses claiming to represent GLXY stock [1].

The broader trend of real-world asset (RWA) tokenization has expanded rapidly since 2022, with a 380% growth in the market. While the early focus was on private credit and U.S. Treasury bonds, public equities are now entering the picture. As of now, the total value of tokenized stocks stands at approximately $341 million, signaling a growing appetite for on-chain access to traditional financial instruments. However, the market remains nascent, and regulatory frameworks are still catching up with the pace of innovation [3].

Mike Novogratz, Galaxy’s founder and CEO, emphasized the long-term vision of this initiative: to create a bridge between traditional finance and the next-generation infrastructure of blockchain. The firm and Superstate are also exploring how tokenized public equities might trade via Automated Market Makers (AMMs) in a regulatory-compliant manner, potentially unlocking greater liquidity and utility for investors [2].

Source:

[1] Galaxy and Superstate Launch GLXY Tokenized Public Shares on Solana (https://www.prnewswire.com/news-releases/galaxy-and-superstate-launch-glxy-tokenized-public-shares-on-solana-302544834.html)

[2] Galaxy Digital Tokenizes its Shares on Solana With Superstate (https://www.coindesk.com/business/2025/09/03/galaxy-digital-tokenizes-its-shares-on-solana-with-superstate)

[3] Galaxy Digital stock goes onchain with Solana tokenization (https://cointelegraph.com/news/galaxy-digital-stock-tokenized-solana)

[4] European regulator says tokenised stocks risk 'investor misunderstanding' (https://www.marketscreener.com/news/european-regulator-says-tokenised-stocks-risk-investor-misunderstanding-ce7c50d2d181f720)