Solana News Today: Solana Tokenized Stocks Surge 242% in One Month, Hit $102M Market Cap

Solana-based tokenized stocks have surged past $100 million in market capitalization within a month of their June 30 launch, driven by rapid adoption of xStocks issued by Backed Finance. As of July 22, the Solana tokenized stock market reached $102 million, a 242% increase from its initial $29.8 million valuation [1]. This growth has positioned Solana as a dominant player in the sector, capturing 20.4% of the market—far outpacing Ethereum and its layer-2 blockchains (Arbitrum, Polygon, and Base), which collectively hold $11.8 million [1]. TSLAx, representing Tesla shares, leads the category with a $13.6 million market cap and 11,073 holders, followed by tokenized S&P 500 derivatives like SPYx ($10.1 million) and CRCLx (Circle’s tokenized shares at $9.1 million) [1]. On-chain trading volume for xStocks also surpassed $300 million [1].

Despite this momentum, DeFi integration of tokenized assets remains underdeveloped. While platforms like Kamino and Raydium support xStocks as collateral or liquidity pools, utilization rates are low. Kamino’s eight xStocks—TSLAx, SPYx, NVDAx, HOODx, MSTRx, AAPLx, QQQx, and GOOGLx—collectively hold $50 million in market value, yet only $585,000 has been deposited as collateral, or 11% of the total [1]. Similarly, Raydium’s largest TSLAx liquidity pool contains $1.1 million, with just $423,600 in tokenized stock [1]. For SPYx, liquidity pools hold $1.9 million, but only $502,000 represents the tokenized asset [1]. This underutilization translates to DeFi participation rates of 4.7% for TSLAx and 7% for SPYx [1].

Michael Cahill, CEO and co-founder of Douro Labs, attributes the gap to a unidirectional flow of capital from crypto to traditional finance. “Holders entering crypto from traditional markets aren’t yet leveraging DeFi composability,” he told CryptoSlate [1]. Cahill cited the Apollo Diversified Credit Securitized Fund (ACRED), which holds $100 million in net assets but has only a fraction deployed in on-chain lending, as an example of systemic underutilization [1]. He anticipates gradual growth as traditional finance users acclimate to blockchain tools, noting that xStocks represent a novel category. “We didn’t have this last year,” Cahill said, contrasting it with earlier attempts like Terra’s Mmirror project [1]. He highlighted that a “big company moment” akin to Strategy’s tokenized shares could accelerate adoption but emphasized that improved product experiences bridging traditional and on-chain interfaces will be key to unlocking broader DeFi integration [1].

The Solana tokenized stock market’s rapid ascent underscores growing interest in blockchain-based financial products, but its DeFi potential remains untapped. As investors navigate the intersection of traditional and decentralized finance, the path forward hinges on user education and seamless interface design to bridge the gap between asset tokenization and composability.

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[1] [title1Solana’s tokenized stocks surpass $100M in less than a month, yet DeFi use still lags] [url1https://cryptoslate.com/solanas-tokenized-stocks-surpass-100m-in-less-than-a-month-yet-defi-use-still-lags/]