Kraken Launches Tokenized U.S. Stock Trading Globally via Solana

Kraken is expanding its global reach with the launch of tokenized shares of major U.S. stocks and ETFs, including Nvidia, Apple, and Tesla, according to The Wall Street Journal. These digital assets, branded as “xStocks,” are issued on the Solana blockchain and can be traded 24/7, offering global investors round-the-clock access to top-performing equities.

The xStocks tokens are backed 1:1 by real shares held by Backed Finance, ensuring they are fully redeemable for their underlying cash value. Among the ETFs available are the SPDR S&P 500 ETF (SPY) and SPDR Gold Shares (GLD), further enhancing investment options.

Kraken initially announced plans in April to offer over 11,000 U.S.-listed stocks and ETFs through Kraken Securities, launching in 10 U.S. states. This latest development extends access to over 50 tokenized stocks and ETFs for users outside the U.S., starting in Europe, Latin America, Asia, and Africa.

This move positions Kraken as a major competitor to platforms like Robinhood. Notably, Binance attempted a similar tokenized stock service in 2021 but ultimately scrapped the initiative due to regulatory hurdles. In contrast, Kraken is reportedly engaging with regulators to ensure legal compliance across jurisdictions.

Tokenization—the process of converting real-world assets into blockchain-based tokens—is emerging as a key trend in the crypto sector. The market has already grown to a $65 billion valuation, driven by industry leaders like Ondo Finance, BlackRock, and Franklin Templeton.

Kraken’s expansion into tokenized equities marks a significant step toward integrating traditional finance with decentralized technology, offering investors more flexible and inclusive access to U.S. financial markets.