Coinbase announced it will introduce tokenized U.S. stocks backed one-for-one by underlying equities, entering a rapidly growing race among crypto and traditional finance firms to bring securities onto blockchain rails.
The exchange said users will be able to own, trade, hold, and redeem the shares onchain while automatically receiving dividends.
Real ownership, not derivatives
CEO Brian Armstrong drew a sharp distinction between Coinbase’s approach and existing tokenized stock products, which are often structured as derivatives or synthetic exposures.
Armstrong said in a statement:
“Other current solutions are some form of derivative or IOU — not real ownership. Our tokenized stocks will give all the benefits of true ownership (e.g. dividend upside), with all the benefits of tokenized assets.”
He added:
“You own an actual piece of the company onchain.”
The products will initially launch only in eligible jurisdictions outside the U.S., with no specific date announced.
Competition heats up
Coinbase is far from alone in this push.
Kraken recently added tokenized U.S. stocks for customers in over 180 countries through its xStocks platform.
Robinhood announced plans to offer tokenized equities in Europe, while Gemini, Bybit, and other exchanges have explored similar products.
On the traditional finance side, Citi has projected that tokenized securities could grow into a multitrillion-dollar market by the end of the decade.
BlackRock, Franklin Templeton, and JPMorgan have all expanded their tokenized fund and asset offerings.
Why it matters for global investors
For investors outside the U.S., tokenized stocks promise easier access to the world’s largest capital markets without navigating foreign brokerage accounts and local restrictions.
Supporters argue the technology can reduce settlement times, lower costs, and enable around-the-clock trading.
The announcement was made ahead of a broader Coinbase product event scheduled for Tuesday afternoon.
