Key Takeaways
- Gemini launched a tokenized MicroStrategy (MSTR) stock for EU investors.
- The exchange plans to introduce more tokenized stocks and ETFs soon.
- Interest in tokenized US equities is growing among European and international platforms.
Gemini has rolled out a tokenized version of MicroStrategy (MSTR) stock, allowing users in the European Union to invest in the bitcoin-focused company directly onchain.
This marks Gemini’s first foray into tokenized equities, with the exchange stating that more tokenized stocks and ETFs will be available “in the coming days.”
Gemini explained the rationale for the move:
“Traditional financial rails are hard to access and in need of modernization. Tokenized stocks solve this problem by giving investors greater access with fewer restrictions.”
Tokenized equities address constraints of traditional stock markets, such as limited trading hours, higher fees for international investors, and regional access barriers.
Gemini claims that onchain stock trading provides a seamless experience, enabling users to hold both bitcoin and stocks on a single platform without needing to transfer assets between services.
For context on MicroStrategy’s stock performance versus bitcoin, see the MSTR price vs BTC returns chart.
The launch was made possible through a partnership with US-based securities provider Dinari. Gemini noted that Dinari’s model offers “greater liquidity, transparency, and the same economic rights as the backing security, where permitted.”
Growing interest in tokenized equities
Interest in tokenized US equities is rising in Europe.
On May 8, reports indicated brokerage fintech Robinhood is developing a blockchain solution to let European retail investors trade US securities. Shortly after, Kraken announced plans to offer tokenized US stocks to non-US customers. Meanwhile, Coinbase is seeking regulatory approval in the US to offer tokenized equities.
According to Arnab Naskar, CEO of tokenization platform STOKR:
“It is difficult to project but is definitely a bigger trillion-dollar market.”
