Why eToro’s Move to Tokenize US Stocks on Ethereum Could Break Wall Street as We Know It
Ever wondered what it would feel like to trade your favorite U.S. stocks as easily as sending an email? Well, eToro is about to turn that daydream into reality by launching tokenized U.S. equities on the Ethereum blockchain. Imagine the freedom of 24/5 trading, where your investments aren’t tied down by traditional market hours, and the transparency and efficiency of blockchain technology streamline every transaction. This bold move not only places traditional stocks onto a decentralized platform but also sets the stage for integrating these assets into the rapidly expanding DeFi ecosystem. It’s a paradigm shift that could redefine how we engage with the stock market — because why shouldn’t your portfolio be as agile as the digital world we live in? Dive into what this means for investors and the future of finance. LEARN MORE
Investors could soon trade US stocks as on-chain digital assets, boosting accessibility and efficiency in traditional finance.
Key Takeaways
- eToro will launch tokenized US equities as ERC20 tokens on the Ethereum blockchain.
- The initiative aims to enable 24/7 trading and integrate traditional stocks into the DeFi ecosystem.
Share this article
Trading platform eToro is set to roll out tokenized US equities on Ethereum, broadening its trading suite and advancing its tokenization strategy, the company said Tuesday.
The launch will feature 100 top US-listed stocks and ETFs, tokenized as ERC‑20 assets on Ethereum and backed 1:1 by traditional shares held by eToro. Users will be able to redeem tokenized stocks for underlying positions on eToro and vice versa.
The company has also introduced spot-quoted futures in collaboration with CME Group, currently available in select European markets.
“We’ve been long-term believers in a tokenized future. Blockchain technology will facilitate the greatest ever transfer of wealth, as traditional assets are tokenized and moved onto the blockchain,” said Yoni Assia, eToro co-founder and CEO, during a global webinar titled ‘eToro Unlocked: Trade Without Boundaries.’
While legacy institutions still pose resistance, new regulations such as Europe’s MiCA and the US GENIUS Act are laying the legal groundwork for regulated, tokenized assets, according to Assia. Stablecoins have already demonstrated the power of 24/7, borderless trading, and that model is now expanding across asset classes.
The tokenization initiative builds on eToro’s previous ventures, including the launch of tokenized gold (GOLDX) and silver (SLVX) in 2019 following its acquisition of Danish token startup Firmo.
“Our mission has always been to open the global markets. Extended hours trading was the first step, 24/5 takes it a step further; however, tokenization brings 24/7 accessibility,” Assia said. “Our goal is to tokenize every asset on eToro – starting with stocks – enabling our users to move tokenized assets onto the blockchain and from there, integrate them into the broader DEFI ecosystem.”
eToro’s move follows growing momentum around asset tokenization. Just last month, Kraken launched tokenized stock trading for major companies like Apple and Nvidia. Kraken co-CEO Arjun Sethi predicted that tokenized equities could soon outpace the stablecoin market, citing their greater transparency, speed, and global accessibility.
Meanwhile, Coinbase is seeking SEC approval to offer tokenized stocks in the US, aiming to unlock 24/7 trading and faster settlement times—putting it in direct competition with traditional brokerages.
Share this article
Post Comment