30.06.2025 13:27

Kraken, a prominent cryptocurrency exchange, has launched on-chain trading for tokenized US equities, marking a significant step in the integration of traditional finance and decentralized technologies. This new market, however, excludes US customers.

International traders now have access to 60 tokenized US equities via Kraken's platform. The exchange partnered with BackedFi to create these XStocks, which are fully composable within the Web3 ecosystem, enabling innovative trading strategies such as algorithmic and AI-driven trading. This functionality contrasts sharply with traditional stock markets.

Importantly, this on-chain trading is currently unavailable in the US, Canada, Australia, the EU, the UK, and other restricted regions. The initial launch saw immediate trading activity, and XStocks are also available on the Bybit exchange. This development signals a major shift toward on-chain Wall Street, offering 24/5 access to tokenized versions of top US tech companies, including Google, Nvidia, and Microsoft.

A key feature of XStocks is their divisibility, allowing investors to participate with minimal deposits as low as $1, using fiat currency, cryptocurrencies, or stablecoins. Moreover, their integration into the Solana ecosystem opens up new avenues for decentralized finance (DeFi), particularly through DeFi lending platforms like Kamino Lend, which has already announced its acceptance of XStocks as collateral.

While offering significant opportunities, the regulatory landscape remains a challenge. Although XStocks are currently live internationally, regulatory approval for tokenized equities in the US is still pending, a hurdle shared by other exchanges like Coinbase offering similar products.