Summary
The parent company of crypto exchange Kraken, Payward, is expanding its tokenized stock offering beyond U.S. companies, betting that investors want onchain access to equities from around the world. Payward — developer of the xStocks framework — is working with investment infrastructure provider GTN to bring Hong Kong-listed stocks to the platform, with U.K., European and South Korean equities expected to follow, subject to regulatory approvals.
The move broadens competition in tokenized equities as Robinhood, Coinbase and others pursue similar initiatives. Until now, tokenized equity platforms have largely focused on replicating U.S. markets onchain (Nvidia, Apple, Tesla). Expanding xStocks overseas gives investors access to a broader universe, including high-flying Asian firms tied to the AI supply chain that have become popular among global retail traders.
xStocks started last year with tokenized U.S. stocks and ETFs. The platform now supports more than 500 tokenized securities, has processed more than $35 billion in trading volume and has nearly 200,000 holders, according to Payward. The products remain unavailable to U.S. investors. Citi has estimated tokenized securities could grow into a $5.5 trillion market by 2030, including $2.6 trillion in tokenized equities.
Key Facts
- Payward (Kraken parent) expanding xStocks beyond U.S. equities to Hong Kong, U.K., European and South Korean markets.
- Partnering with GTN (connects to 90+ global markets) for execution, custody and recordkeeping.
- xStocks now supports 500+ tokenized securities, $35B+ in trading volume, ~200,000 holders.
- Products remain unavailable to U.S. investors.
- Citi estimate: tokenized securities could reach $5.5T by 2030, including $2.6T in tokenized equities.
- Competition intensifying: Robinhood expanded tokenized stocks beyond Europe; Coinbase planning stock tokens; DTCC testing tokenized securities infrastructure.
- Nasdaq and NYSE have also started tokenization initiatives.
- Partnership lays groundwork to expand xStocks beyond equities into other tokenized asset classes.
Why It Matters
Tokenized equities are one of the fastest-growing areas connecting crypto with traditional finance, and the next frontier is global rather than U.S.-only. By adding Hong Kong and Asian AI-supply-chain names, Payward targets the universe of companies that retail traders globally already chase — a meaningful expansion of the addressable market for onchain equities.
The move also sharpens an industry debate: whether tokenized stocks should rely on third-party issuers that buy and custody shares before minting tokens (xStocks' model) or be issued natively on blockchain networks. As tokenized securities move closer to the mainstream, that debate is drawing increasing attention from regulators and market infrastructure providers — and the xStocks expansion puts the issuer-backed model to a global test.