Kraken is shaking up the traditional stock market with its bold move into tokenized securities. The cryptocurrency exchange announced plans to offer tokenized versions of more than 50 U.S. stocks and ETFs, including heavy hitters like Apple, Tesla, and Nvidia. Sorry, Americans – this party isn’t for you.
The new offering, dubbed “xStocks,” will run on the Solana blockchain and be available to investors across Europe, Latin America, Africa, and Asia. Each token is backed one-to-one by real shares held by Backed Finance, so it’s not just digital smoke and mirrors. Finally, international investors can grab a piece of American stocks without getting gouged by local broker fees. The platform aims to serve both retail and institutional investors seeking simplified access to U.S. equities. The initiative stems from Kraken‘s 2011 establishment as a trusted leader in cryptocurrency services.
International investors can now access U.S. stocks through Kraken’s xStocks, ditching hefty broker fees for blockchain-based trading on Solana.
Here’s where it gets interesting: these tokenized stocks trade 24/7. No more waiting for Wall Street to wake up – traders can buy and sell at 3 AM if they feel like it. The traditional market’s time zone restrictions? Gone. Geographic barriers? Demolished. It’s like the stock market finally discovered the internet exists outside of New York. Users can manage their assets securely through digital wallets protected by cryptographic keys.
The lineup is impressive. Besides tech darlings Apple and Tesla, investors can access the SPDR S&P 500 ETF and even SPDR Gold Shares. Backed Finance handles the actual stock custody while Kraken serves up the tokenized versions on Solana’s speedy, low-cost blockchain.
Kraken isn’t just throwing caution to the wind, though. They’re working with regulators across different regions to keep everything above board. That’s probably wise, considering Binance tried something similar in 2021 and had to bail due to regulatory headaches.
This move puts Kraken in direct competition with traditional platforms like Robinhood, making them the first major exchange to successfully roll out tokenized shares of blue-chip U.S. stocks. With the tokenization market hitting $65 billion by May 2025, the timing couldn’t be better.
The future of stock trading is looking increasingly digital – even if Americans will have to watch this particular revolution from the sidelines.
