Kraken Exchange Launches Trading in Tokenized Apple Shares

The largest US crypto exchange Kraken announced the launch of tokenized shares (xStocks) of Apple, Tesla, Nvidia and 50 other leading US issuers, including ETFs.

This will allow users in Europe, Asia, Africa and Latin America to trade securities 24/7 via the Solana blockchain, The Wall Street Journal (WSJ) reported. xStocks tokens are built on the Solana blockchain, with each xStock backed by an actual stock or ETF stake via Switzerland-based Backed Finance.

The token price will be synchronized with the market value of the underlying assets. Investors will be able to withdraw xStocks to third-party exchanges and personal wallets, use them as collateral in crypto trading, and participate in DeFi protocols. This way, users get access to US stocks without the need to open a traditional brokerage account.

Kraken CEO Arjun Sethi said the new product is designed to make global markets easier for foreign investors to access.

"Currently, transactions with American stocks through local brokers require high commissions and long settlements. We want to change this," he noted.