VALR launches tokenized U.S. equities in Africa via xStocks

VALR, Africa's leading cryptocurrency exchange by trading volume, has launched xStocks, a new product that offers tokenized exposure to U.S.-listed equities. This marks the first time in Africa that investors can access tokenized versions of major U.S. stocks and ETFs through a crypto platform. The xStocks tokens, developed by Backed in May 2025, represent a 1:1-backed version of these equities but do not grant ownership rights or voting privileges [1].

VALR users can now trade these tokenized equities against TetherUSD (USDT), Bitcoin, Ethereum, or South African rand on the exchange’s spot market. The initiative aims to make global financial assets more accessible to African investors, particularly those who may not have traditional brokerage accounts. It is a strategic move to bridge the gap between local markets and international capital flows [2].

According to VALR CEO Farzam Ehsani, the launch of xStocks is a significant step toward democratizing finance in South Africa and across the continent. The offering aligns with broader trends in the fintech industry, where platforms like eToro are also exploring tokenization to support 24/5 trading and expand access to blockchain-based assets [3].

The tokenization of equities leverages smart contracts and decentralized ledgers to streamline ownership and settlement, reducing entry barriers and expanding the range of financial instruments available to retail investors in Africa. For VALR’s user base, which spans multiple African countries, the xStocks product enhances liquidity and introduces the concept of fractional ownership, making high-value equities more attainable [4].

This launch positions VALR at the forefront of the tokenization movement in emerging markets and reinforces its reputation as an innovator in the crypto space. As the African fintech landscape continues to evolve, such initiatives are likely to shape the future of financial services, particularly for a growing demographic of young and tech-savvy investors [2].

Source:

[1] AInvest, VALR Launches xStocks for U.S. Equities Exposure in Africa, https://www.ainvest.com/news/valr-launches-xstocks-equities-exposure-africa-2507/

[2] Finbold, VALR introduces tokenized U.S. stock trading in South Africa, https://finbold.com/valr-introduces-tokenized-u-s-stock-trading-in-south-africa/

[3] FF, eToro tokenized assets launch expands 24/5 trading and introduces ERC20 US stocks, https://ffnews.com/newsarticle/tradetech/etoro-tokenized-assets/

[4] FinanceFeeds, EToro To Launch Tokenized Trading Of U.S. Stocks And ..., https://financefeeds.com/etoro-to-launch-tokenized-trading-of-u-s-stocks-and-futures/