FTX exchange is leading the launch of tokenized stocks on Solana alongside Digital Assets AG.
Digital Assets AG is bringing tokenized stocks for 55 companies to Solana. FTX exchange will be the first platform to enable trading for users who complete its KYC process.
Blue Chip Stocks on Solana
Solana will host tokenized stocks for a range of companies including Facebook (NASDAQ:FB), Apple (NASDAQ:AAPL), Google (NASDAQ:GOOGL), Netflix (NASDAQ:NFLX), Nvidia (NASDAQ:NVDA), PayPal (NASDAQ:PYPL), Square (NYSE:SQ), and Tesla (NASDAQ:TSLA).
Digital Assets AG (DAAG) plans to list the 55 tokenized stocks on the Layer 1 blockchain platform. The Swiss firm provides free-floating stocks on exchanges like Binance and FTX, as well as on private blockchains. Free-floating tokens are regulated assets that represent the publicly issued supply of those shares.
The securities prospectus of DAAG Tokenized Stocks is endorsed by the Financial Market Authority (FMA) of Liechtenstein, making the stocks valid in the European Economic Area.
According to a press release shared with Crypto Briefing, FTX exchange will pilot trading DAAG’s stock tokens on Solana. Any users who complete the exchange’s KYC process and live in permitted jurisdictions will be able to trade the tokens.
FTX is a leading supporter of Solana as a hub for next-generation DeFi applications. The exchange is run by Sam Bankman-Fried, who also owns Alameda Research, a trading firm that’s backed many projects in the blockchain’s ecosystem. Speaking of the launch, Bankman-Fried said:
“DAAG’s tokenized stock infrastructure will help facilitate a paradigm shift in the underlying market structure, and we’re excited to continue working with Solana and DAAG to set the standard in this industry.”
Anatoly Yakovenko, CEO of Solana Labs, added that DAAG was “primed to expand the financial technology that can be built on Solana, with DeFi products ready to support these new equity tokens.”
Tokenized stocks are not new in the crypto world. FTX, Binance, and Bittrex Global enable trading of multiple stock and commodity tokens, but the tokens are not transferable across platforms. DAAG’s stock launch will allow for transfers to the secondary market, external apps, other Solana addresses, or applications, opening the gateway for access in DeFi applications.