Major cryptocurrency exchanges are moving closer to offering digital tokens that mirror the performance of U.S. stocks, effectively creating a parallel trading market that operates outside direct U.S. regulatory oversight, according to a report published Friday by The Information.
The report said Binance is exploring the return of stock-linked tokens to its platform after discontinuing the product in 2021. The plans were cited by a source familiar with the discussions. Meanwhile, OKX is also evaluating the launch of tokenized U.S. equities, according to Haider Rafique, the company’s global managing partner and chief marketing officer.
Several trading platforms already offer stock-tracking crypto tokens, including Kraken, Bitget, and decentralized platform Jupiter, with growing investor interest driving increased adoption.
These stock tokens are designed to reflect shares of major publicly traded companies such as Apple and Nvidia. They allow users to trade exposure to U.S. equities on overseas crypto exchanges, including outside traditional U.S. market hours.
The products also offer access to investors who may not be able to open U.S. brokerage accounts and appeal to those seeking greater privacy through crypto-based trading.
Although tokenized stocks remain a small niche compared with traditional equity markets, growth has been accelerating. Data from analytics firm RWA.xyz shows that the total value of tokenized stocks currently in circulation has reached $915 million, representing a 19% increase over the past month. By comparison, the total market capitalization of the S&P 500 stands at roughly $60 trillion.
