Kraken is gearing up to list tokenized versions of Nvidia, Apple, Tesla, and more than 50 other U.S. stocks and ETFs, rolling out the offering on the Solana blockchain, the Wall Street Journal reports.
These new “xStocks” tokens will be fully backed by actual shares held by Kraken’s partner, Backed Finance, ensuring investors worldwide can trade them 24/7 with real asset backing. Among the ETFs included are well-known funds like the SPDR S&P 500 ETF (SPY) and SPDR Gold Shares (GLD).
Each token is redeemable for its equivalent real-world stock or ETF, allowing seamless conversion between the digital and traditional markets.
Following the initial U.S. launch earlier this year, which covered 11,000 stocks and ETFs across ten states via Kraken Securities, this expansion targets global markets including Europe, Latin America, Africa, and Asia.
Kraken is positioning itself at the forefront of tokenized securities exchanges, competing with platforms like Robinhood. This move contrasts with Binance’s halted 2021 tokenized stock plans, which were stymied by regulatory hurdles.
A Kraken spokesperson emphasized ongoing collaboration with regulators to navigate the complex legal landscape, tailoring the product launch to regional compliance standards.
Tokenization continues to surge as a key innovation in finance, with major players such as BlackRock, Franklin Templeton, and Ondo Finance fueling the market’s growth, now valued at approximately $65 billion.
