Kraken Partners with Trust Wallet for Tokenized Stock Trading on xStocks Platform
In a significant move for the digital asset market, Kraken has partnered with Trust Wallet to broaden the reach of its tokenized stocks product, xStocks. This partnership aims to put tokenized equities 'directly into the hands of millions,' as Kraken Co-CEO Arjun Sethi described the development.
With this integration, Trust Wallet users can now buy, hold, and trade xStocks. The service supports local fiat currencies and works across Solana, Ethereum, Tron, and BNB Chain. This crosschain accessibility, according to Backed co-founder Adam Levi, represents a 'public good' in tokenized markets, emphasizing the importance of interoperability.
The partnership bridges Web3 tools with traditional financial markets, a sentiment echoed by Trust Wallet CEO Eowyn Chen. She highlighted the partnership's importance, stating it as a significant step towards broader mainstream adoption. Kraken sees this integration as an important step towards achieving its goal of providing tokenized equities to over 200 million Trust Wallet users worldwide.
However, it's important to note that geographic restrictions apply. xStocks are unavailable in the United States, United Kingdom, Canada, and Australia. The expansion of xStocks to the European Union covers most EU states, but specific exclusions were not specified. Kraken confirmed the need for Know Your Customer checks to comply with standards.
Regulation, not technology, defines eligibility for trading tokenized securities, as stressed by Ross Shem of Stobox. Tokenized securities remain bound by investor protection laws. Shem also confirmed that the rollout of xStocks in the European Union has been met with strong demand, generating over $4 billion in combined trading volume since launch.
Kraken confirmed that access to xStocks will depend on geographic rules and compliance standards. The geographic location of the over 200 million Trust Wallet users who gain access to tokenized stocks through the partnership with Kraken is not specified in the available search results.
This partnership is a major shift in digital asset markets, as described by Kraken's Arjun Sethi. The integration allows Trust Wallet users to trade 60 different xStocks, opening up a new world of investment opportunities for millions of users. Kraken framed the rollout as a significant step towards broader mainstream adoption of tokenized equities.
