cryptonews
2025-09-10 11:51:40

Kraken Introduces Tokenized Securities Trading in Europe

Crypto exchange Kraken has launched xStocks, a new tokenized securities trading product, aimed at giving European investors easier access to some of the world’s most popular stocks and ETFs. Europe, your wait is over. xStocks are now live in the Kraken app for eligible clients in Europe! Break the broker barrier https://t.co/viHhrZp8Jv pic.twitter.com/sGV7MeI4nJ — Kraken (@krakenfx) September 10, 2025 The offering, available via Kraken’s PEDSL-CY entity, marks a major step forward in bridging traditional markets with blockchain-based innovation. According to Kraken, xStocks are available only to EU-based clients who have passed an appropriateness assessment or who qualify as professional investors. Importantly, xStocks are not registered under the U.S. Securities Act and cannot be sold to or held by U.S. persons. What Are xStocks and How Do They Work? Kraken explains xStocks function as tokenized certificates that mirror the market prices of real-world U.S. stocks and ETFs. Each token is backed 1:1 by the underlying security and issued on-chain as an SPL or BNB token. Unlike actual shares, xStocks do not confer shareholder rights such as voting or dividends. Instead, holders gain exposure to the price performance of the asset through a financial instrument issued by Backed Assets (JE) Limited, a Jersey-based company. Kraken initially offers 60 assets through xStocks, including 55 stocks and 5 ETFs. Household names such as Tesla, Apple, and GameStop are among the available listings. Features and Trading Options xStocks can be traded 24 hours a day, five days a week, extending access beyond traditional market hours. Weekend trading support is in development, which could push tokenized securities closer to true round-the-clock availability. Kraken also allows for fractional investments, with a minimum entry point as low as €1. This opens the door to a wider pool of retail investors who might otherwise be priced out of high-value stocks. In addition, Kraken supports self-custody of xStocks, giving users the ability to withdraw holdings to a compatible on-chain wallet. This flexibility ensures that investors retain direct control over their assets, aligning with the principles of decentralized finance. Tokenization as a Growing Trend Kraken emphasizes that xStocks are secured through audited reserves, robust custody arrangements, and blockchain infrastructure. The company has also announced plans to expand support for additional blockchain standards, including BEP-20 on BNB Chain. Recent partnerships with Tron DAO and upcoming integrations with other networks such as Inkhighlight Kraken’s strategy to broaden accessibility across ecosystems. The rise of tokenized securities underscores the momentum behind real-world asset (RWA) tokenization, a trend that seeks to modernize markets by combining the stability of traditional assets with the transparency and efficiency of blockchain. As tokenized assets gain traction, initiatives like Kraken’s xStocks may reshape how global investors interact with both equities and digital finance. The post Kraken Introduces Tokenized Securities Trading in Europe appeared first on Cryptonews .

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