KEY FACTS: Kraken, a leading cryptocurrency exchange, has announced the launch of xStocks, an initiative to offer tokenized versions of U.S.-listed stocks and ETFs, such as Apple, Tesla, and SPDR S&P 500, on the Solana blockchain, enabling 24/7 trading for non-U.S. investors. Developed in partnership with Backed and the Solana Foundation, xStocks leverages Solana’s high-performance infrastructure to provide low-cost, accessible trading of tokenized equities, backed by real shares, with plans to expand to other blockchains. xStocks is set to roll out in weeks across Europe, Latin America, Africa, and Asia, and aims to democratize access to U.S. markets, offering on-chain functionality like DeFi collateral use.

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Source: Kraken, Solana, xStocks

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Kraken Pioneers Tokenized Equities on Solana blockchain with xStocks

Kraken, one of the world’s leading cryptocurrency exchanges, announced on May 22, 2025, its plan to launch tokenized versions of popular U.S.-listed stocks and exchange-traded funds (ETFs) through a new offering called xStocks. This innovative product, developed in partnership with tokenization firm Backed and the Solana Foundation, aims to democratize access to U.S. equities for non-U.S. investors, enabling 24/7 trading on the Solana blockchain. The announcement was made at the Solana Accelerate event.

Today we’re announcing our new partnership with
BackedFi for the launch of xStocks on Solana 🚀
xStocksFi will offer tokenized versions of U.S.-listed equities, available soon to eligible Kraken clients in select non-U.S. markets. A new layer of market access, built on crypto rails and designed to expand across chains 🌏 ❎
Source

Kraken’s xStocks initiative addresses longstanding barriers faced by international investors who seek exposure to U.S. equities, such as high costs, limited trading hours, and restricted access to American markets. Leveraging blockchain technology, xStocks allows investors in select non-U.S. jurisdictions to trade tokenized versions of high-profile stocks like Apple, Tesla, and Nvidia, as well as ETFs such as the SPDR S&P 500 (SPY) and SPDR Gold Shares, at any time, day or night, including weekends and holidays.

The tokenized equities, issued as SPL tokens on the Solana blockchain, are backed by real shares of the underlying securities, which are acquired and held by Kraken’s partner, Backed Finance. This structure ensures that the price of each xStock token closely tracks the value of its corresponding stock or ETF, functioning similarly to a stablecoin pegged to a real-world asset. Unlike traditional shares, however, xStocks do not confer voting rights or dividends, focusing instead on price speculation and accessibility. The tokens can be traded both on Kraken’s platform and on-chain through compatible Solana wallets, opening up novel use cases such as using xStocks as collateral in DeFi applications.

Kraken selected Solana as the launch chain for xStocks due to its “unmatched performance, low latency, and thriving global ecosystem,” as stated in the announcement. Solana, one of the most widely used public blockchains, is known for its high throughput and low transaction costs, making it an ideal platform for handling the demands of tokenized equities at scale. A recent 26-page report released by Solana highlighted its capacity to process approximately 10% of NASDAQ’s daily trading volume, underscoring its robustness for financial applications. The report also emphasized Solana’s native compliance tooling, such as token extensions, which support programmable dividends, stock splits, and voting mechanisms, further enhancing its suitability for tokenized assets.

While Solana is the initial blockchain for xStocks, Kraken and Backed have indicated plans to explore tokenized securities on other blockchains in the future, to project xStocks as a long-term vision and a “neutral, public good asset class” available across multiple platforms and chains. This multi-chain approach could further broaden access and liquidity, positioning xStocks as a transformative force in global capital markets.

The xStocks initiative is a collaborative effort between Kraken, Backed, and the Solana Foundation, combining expertise in crypto trading, tokenization, and blockchain infrastructure. Backed, a pioneering issuer of tokenized securities, plays a critical role by acquiring and custodizing the underlying shares that back each xStock token, ensuring price parity with traditional markets. According to a Backed representative, xStocks’s infrastructure is designed to seamlessly bridge the gap between traditional and decentralized finance.

The launch of xStocks builds on Kraken’s recent foray into traditional equities. In April 2025, the exchange introduced commission-free trading of over 11,000 U.S.-listed stocks and ETFs to select U.S. clients in nine states and the District of Columbia, marking its first entry into the equities market. This offering, which allows clients to manage stocks, cryptocurrencies, cash, and stablecoins in one platform, is set to expand to the U.K., Europe, and Australia soon. The xStocks initiative complements this expansion by targeting non-U.S. customers, positioning Kraken as a global leader in both traditional and tokenized financial products.

Kraken’s move into tokenized equities is an addition to the industry trend toward real-world asset (RWA) tokenization. The RWA market, which includes tokenized bonds, funds, and equities, has grown significantly, with its market capitalization climbing from $15.9 billion in January 2025 to a much larger figure by May, driven by demand for open financial infrastructure and the efficiencies of blockchain technology. Industry executives predict that tokenized stocks could surpass $1 trillion in market capitalization in the coming years, as institutions and retail investors alike seek faster and cheaper access to U.S. equities.

Kraken’s recent regulatory wins, including the dismissal of a U.S. Securities and Exchange Commission (SEC) lawsuit in April 2025, have boosted its position to pursue ambitious projects like xStocks. The exchange’s acquisition of Cyprus-based Greenfield Wealth and U.K.-based Crypto Facilities has further strengthened its regulatory standing, providing licenses to offer derivatives and other financial products in Europe and beyond.

With xStocks, Kraken is positioning itself in direct competition with platforms like Robinhood, which also offer a mix of traditional and crypto assets. Unlike Robinhood, however, Kraken’s tokenized equities provide 24/7 trading and on-chain functionality, giving it a unique edge in the market. Kraken’s strategy includes expanding its offerings beyond cryptocurrencies to become a comprehensive financial platform. Its $1.5 billion acquisition of NinjaTrader in early 2025, described as the largest deal between a crypto and traditional finance firm, enables Kraken to offer traditional derivatives trading in the U.S., further bridging the gap between crypto and traditional markets.

Backed views the launch of xStocks represents a systemic leap toward the mainstream adoption of tokenized securities. Kraken and its partners envision a future where tokenized equities are available on multiple blockchains and exchanges, creating a truly global and accessible capital market. For investors, xStocks offers unparalleled flexibility, allowing them to trade U.S. equities at any time and use tokenized assets in DeFi ecosystems. This innovation could redefine how global investors engage with American markets, making them faster, cheaper, and more inclusive.

Kraken plans to roll out xStocks in the coming weeks to clients in Europe, Latin America, Africa, and Asia, with a gradual expansion of both the range of tokenized assets and the jurisdictions where they are available. The exchange’s commitment to innovation, regulatory compliance, and global accessibility positions it as a trailblazer in the evolving landscape of financial markets.
As tokenization continues to gain momentum, Kraken’s xStocks could catalyze the adoption of blockchain-based financial products, challenging traditional systems and empowering investors worldwide. With the backing of Solana’s high-performance blockchain and Backed’s expertise in tokenization, Kraken is not just taking Wall Street onchain, it is redefining the future of investing.

xStocks marks a significant step toward blending traditional financial markets with the efficiency and accessibility of decentralized finance (DeFi).

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Information Sources:

• Kraken Exchange/ X
• Kraken blog
• The Solana Post/ X
• Cointelegraph

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