Cryptocurrency exchange Kraken announced today at Solana Accelerate a groundbreaking partnership with tokenized asset firm Backed. Together, they will launch a platform for trading over 50 tokenized US stocks and ETFs on the Solana blockchain. This move marks Kraken’s strategic shift into tokenized securities and positions it to compete with traditional brokers like Robinhood.
Kraken Joins the Tokenized Securities Race, Targeting Non-US Markets
Kraken’s new platform, xStocks, will offer tokenized versions of US-listed equities and ETFs, including major companies like Apple, Tesla, and Nvidia. The service is set to launch in the coming weeks, initially for eligible clients in select non-US markets.
👉 Discover how tokenization is reshaping global finance
“Today we’re announcing our new partnership with Backed for the launch of xStocks on Solana. xStocks will offer tokenized versions of U.S.-listed equities, available soon to eligible Kraken clients in select non-U.S. markets.”
— Kraken Exchange (@krakenfx)
Why Tokenized Stocks Matter
- Lower Barriers: Non-US investors gain easier access to US markets.
- Fractional Trading: Enables micro-investments in high-value stocks.
- 24/7 Markets: Blockchain-based trading operates beyond traditional market hours.
Kraken’s Bold Vision: Tokenized Equities Will Surpass Stablecoins
At Solana Accelerate, Kraken co-CEO Arjun Sethi predicted that tokenized equities could eventually dwarf the stablecoin market:
“Today it’s one stock; tomorrow it could be 500 or 1,000. The growth potential is exponential, especially with derivatives like futures and options entering the space.”
Solving Pain Points for Global Investors
Sethi highlighted challenges faced by non-US investors:
“Complex processes often deter international users from accessing US stocks. Tokenization simplifies this, aligning with Kraken’s mission to democratize finance.”
RWA Boom: Robinhood and Others Enter the Fray
The tokenized real-world assets (RWA) market has surged 43% in 2025, reaching $22.7 billion. While US Treasuries dominate, equities ($370 million) show rapid growth. Competitors like Robinhood are also developing blockchain solutions for stock tokenization in Europe.
👉 Explore the future of decentralized asset trading
Comparative Snapshot: Tokenization Leaders
| Platform | Focus | Blockchain | Key Offerings |
|---|---|---|---|
| Kraken xStocks | US Equities/ETFs | Solana | Apple, Tesla, Nvidia tokens |
| Robinhood | European Market | Proprietary | US stock tokenization |
| Backed | Multi-Asset | Ethereum | ETFs, Commodities |
Kraken’s IPO Strategy: Expansion Through Tokenization
This launch coincides with Kraken’s reported $1 billion funding round ahead of a potential IPO. Tokenized securities diversify revenue streams and bridge crypto with traditional finance, reinforcing Kraken’s position as a hybrid financial powerhouse.
FAQ: Tokenized Stock Trading on Kraken
Q1: Who can trade tokenized stocks on xStocks?
A: Initially, eligible non-US clients in select jurisdictions.
Q2: Are tokenized stocks legally compliant?
A: Yes, Backed ensures full regulatory backing for all assets.
Q3: How do tokenized stocks differ from traditional shares?
A: They mirror stock performance but trade on blockchain with added flexibility (e.g., fractional shares).
Q4: What are the risks?
A: Crypto volatility and regulatory changes may impact trading.
Q5: Will Kraken add more stocks?
A: The platform plans to expand beyond the initial 50+ assets.
Q6: How does Solana enhance this service?
A: Its low fees and high speed optimize trading efficiency.
Disclaimer: Crypto investments carry high risk. Prices are volatile, and capital loss is possible. Assess risks carefully.
“`