Kraken, one of the leading cryptocurrency exchanges, has recently announced the expansion of its tokenized equity service, xStocks, to European Union clients. This move comes as part of Kraken’s global rollout strategy, which began in late June and has seen significant success, with over $3.5 billion in combined trading volume across centralized and decentralized exchanges.
The extension of xStocks to EU-based investors allows them to trade digital representations of popular U.S. stocks like Tesla and Amazon, as well as exchange-traded funds (ETFs) directly through Kraken’s mobile app. This offering addresses longstanding challenges for European investors seeking exposure to U.S. markets, such as currency conversion fees, settlement delays, and limited transfer flexibility between platforms.
Mark Greenberg, Kraken’s Global Head of Consumer, highlighted the importance of expanding xStocks to the European Union, stating that it removes many barriers that have made it challenging for investors to access U.S. markets. The service operates 24 hours a day, five days a week, breaking from traditional equity trading windows, and offers features like the ability to move tokenized holdings between compatible platforms or store them in self-custody wallets.
Kraken’s expansion of its tokenized equity service comes amidst increasing competition in the market, with platforms like Robinhood, Bybit, and KuCoin also offering similar services to international customers. Additionally, Kraken is reportedly seeking $500 million in new funding at a $15 billion valuation and is preparing for a potential initial public offering in early 2026.
The company has also sought regulatory approval from the Securities and Exchange Commission (SEC) for its tokenized trading platform and recently diversified its offerings by acquiring Breakout, a proprietary trading platform that provides funded accounts to crypto traders.
Kraken’s multi-chain strategy has seen the initial deployment of xStocks as SPL tokens on the Solana blockchain, with subsequent expansion to support additional networks like BNB Chain and the TRON network. The exchange has announced plans to bring xStocks to Ethereum as ERC-20 tokens, tapping into the network’s decentralized finance ecosystem.
While traditional market operators have raised concerns about tokenized stock offerings, arguing that they lack investor protection safeguards present in conventional markets, major exchanges continue to pursue tokenized asset strategies. Nasdaq, for example, filed a proposal with the SEC to offer its own tokenized securities platform, and eToro announced plans to tokenize popular U.S. stocks on Ethereum.
In conclusion, Kraken’s expansion of its tokenized equities platform, xStocks, to European investors represents a significant step in providing broader access to U.S. markets and driving innovation in the cryptocurrency space. As the competition heats up in the tokenized asset market, it will be interesting to see how exchanges navigate regulatory challenges and continue to evolve their offerings to meet the needs of investors worldwide.
Sources:
– Finance Magnates: [https://www.financemagnates.com/cryptocurrency/exchange/cryptocurrency-exchange-kraken-expands-35b-tokenized-stock-trading-to-european-union/]
– CoinDesk: [https://www.coindesk.com/markets/2025/09/10/kraken-expands-tokenized-equities-platform-xstocks-to-european-investors]
– CoinTelegraph: [https://cointelegraph.com/news/kraken-tokenized-stocks-europe-backed-xstocks?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound]
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