Kraken to Launch xStocks: Tokenized Equities for Global Users
Kraken, a leading cryptocurrency exchange, is gearing up to introduce a new product that will enable users in select countries outside the US to trade tokenized versions of major American stocks and ETFs around the clock.
The announcement, made on May 22, revealed that the offering will include popular names such as Apple, Tesla, and Nvidia, with plans to expand the selection of assets over time.
This development follows Kraken’s recent acquisition of NinjaTrader in February and its subsequent entry into the stock trading realm just last month.
Introducing xStocks
The new product, named xStocks, is a collaboration with Backed and will tokenize well-known US-listed assets as SPL tokens on the Solana (SOL) network.
Unlike traditional equity markets, xStocks will be tradable 24/7 through Kraken’s platform and compatible Solana wallets. This unique structure also allows the tokenized assets to be utilized onchain, for purposes such as collateral in decentralized applications, a feature not typically available through traditional brokerage systems.
Mark Greenberg, Kraken’s Global Head of Consumer, emphasized that xStocks aims to provide faster, more cost-effective, and more inclusive access to US equities. He highlighted the current systems as sluggish, expensive, and restricted by geographical limitations.
“[xStocks] is what the future of investing looks like,”
Democratizing Access to US Markets
This move by Kraken builds upon its recent launch of a conventional equities trading service for clients based in the US, offering access to over 11,000 publicly listed stocks and ETFs.
The company plans to extend this service to the UK, Europe, and Australia, while the introduction of xStocks represents a parallel expansion leveraging blockchain technology.
The unveiling of xStocks comes at a time of heightened interest in tokenized real-world assets (RWAs), driven by the growing demand for open financial infrastructure and the efficiencies facilitated by digital platforms.
While Kraken has not specified a launch date for xStocks, it has expressed its intention to broaden the list of supported jurisdictions and tokenized assets gradually.