Binance Considers Relaunching Tokenized Stock Trading
Binance is exploring a return to tokenized stock trading, a service it halted in 2021 amid regulatory scrutiny.
Stock tokens let investors buy fractional shares of companies like Apple or Microsoft, settled on a blockchain and tracking real-time stock prices. The initiative aligns with Binance’s goal of bridging traditional finance and crypto.
“Binance is committed to expanding user choices while upholding regulatory standards,” a spokesperson told CoinDesk. “We’ve supported tokenized real-world assets since last year and recently launched the first regulated TradFi perpetual contracts settled in stablecoin. Offering tokenized equities is a natural next step.”
Past Launch and Market Interest
Binance first launched stock tokens in April 2021, starting with Tesla before adding Microsoft, Apple, Coinbase, and Strategy. Regulatory questions in the U.K. and Germany led to the program’s closure by July 2021.
Interest hasn’t waned. OKX is exploring stock tokens, while the NYSE, Nasdaq, and Coinbase are also pursuing similar offerings.
Regulatory Challenges Remain
Legal uncertainty persists. A pending crypto market structure bill in Congress could delay tokenized stock launches. Coinbase CEO Brian Armstrong has called for exemptions allowing certain tokenized products to bypass standard securities rules.
