Tokenized Stock Trading Launches on Bybit, Kraken, Solana with 60+ Assets

Tokenized stock trading has officially launched on major platforms Bybit, Kraken, and within Solana’s decentralized finance (DeFi) ecosystem. This development marks a significant milestone in the integration of traditional financial instruments with blockchain technology. More than 60 tokenized stocks are now available on these platforms, offering users exposure to traditional stocks via blockchain infrastructure. The stock selection includes blue-chip giants and crypto firms, such as Netflix, Meta, Robinhood, Coinbase, Amazon, Nvidia, McDonald’s, Apple, Tesla, and Microsoft, among others.

Bybit, one of the largest crypto exchanges, announced support for xStocks, the tokenized stocks product launched by Backed Finance. The exchange highlighted that onchain settlement will be near-instant, and the tokens will be backed one-to-one by real shares. Bybit also claims that the offering is compliant with the European Union’s Markets in Financial Instruments Directive II (MiFID II) and that future support for dividends is under consideration. xStocks are also available on Bybit’s TradFi and Byreal platforms, which cater to hybrid and traditional asset trading.

Kraken, one of the oldest still active crypto exchanges, similarly announced support for xStocks. The exchange emphasized the benefits of 24/7 trading, freely transferable assets, and a lack of commissions. Kraken’s announcement also highlighted the elimination of unfair delays, trading limits, time-zone issues, and complex signups, making the trading experience more seamless for users.

The Backed Finance announcement stated that xStocks are “DeFi-ready” and already integrated with leading Solana protocols. This integration allows stocks to be used to provide liquidity on Raydium, be traded on Jupiter, or swapped to and from Kamino. With this development, stocks are now being integrated into Solana’s DeFi ecosystem, which has a current total value locked of $8.56 billion. Support for xStocks has also been added to Solana’s Phantom wallet, though full functionality is still being rolled out.

The launch of tokenized stock trading on these platforms is part of a broader trend towards the tokenization of financial assets. Tokenization involves converting real-world assets into digital tokens on a blockchain, making them easier to trade and manage. This process not only democratizes access to financial markets but also enhances transparency and security. The integration of Chainlink’s Cross-Chain Interoperability Protocol (CCIP) on Solana further supports the growth of the DeFi ecosystem by enabling seamless cross-chain transactions.

The introduction of tokenized stock trading on these platforms is expected to attract a wider range of investors, including those who are new to the cryptocurrency space. By providing a familiar asset class in a digital format, these platforms are bridging the gap between traditional finance and decentralized finance. This development is likely to drive further adoption of blockchain technology and DeFi protocols, as more investors seek to diversify their portfolios and take advantage of the benefits offered by tokenized assets.

The collaboration between Bybit, Kraken, and Solana’s DeFi ecosystem represents a significant step forward in the evolution of financial markets. By leveraging blockchain technology, these platforms are creating a more efficient, transparent, and accessible trading environment. As the tokenization of financial assets continues to gain traction, it is expected that more traditional financial instruments will be converted into digital tokens, further integrating the worlds of traditional finance and decentralized finance.