Kraken to offer tokenized US stocks to non-US clients
Kraken plans to offer non-US customers the ability to trade tokenized US stocks through a partnership with Backed. The tokens will be stored on the Solana blockchain, chosen for its performance and ecosystem. This move indicates Kraken's strategy to compete with larger brokerages like Robinhood rather than solely with crypto exchanges like Coinbase. Kraken recently expanded access to exchange-traded funds and stock trading for US clients in several states. The market for real-world asset (RWA) tokenization has grown significantly, with a 42.8% increase in market capitalization from January to May 2023. Tokenized private credit and US Treasurys are the leading assets, while stocks represent a smaller portion. Robinhood is also developing a blockchain for tokenized securities aimed at European investors. RWA tokenization offers advantages such as reduced costs and democratized access to investment opportunities.
