INX and Backed Expand Tokenized Stock Trading on Polygon Blockchain

INX and Backed have broadened their tokenized stock trading services, introducing new listings on the Polygon blockchain specifically for non-U.S. investors. This expansion includes the addition of Tesla (bTSLA), Microsoft (bMSFT), Google (bGOOGL), and GameStop (bGME) on the INX platform. Each Polygon digital token is backed one-to-one by its real-world counterpart, ensuring a direct link to the actual stock.

Understanding Tokenized Stocks

Tokenized stocks are digital representations of real-world stocks that exist on a blockchain. This allows users to trade traditional financial assets as if they were cryptocurrencies. By leveraging blockchain technology, tokenized stocks offer a unique way to invest in the stock market, providing benefits such as 24/7 trading and fractional ownership.

Upcoming Tokenized ETFs

In two weeks, INX is set to launch its first tokenized ETF, the S&P 500 ETF (bCSPX), alongside tokenized Apple (bAAPL) and BlackRock’s iShares Treasury (bIB01) ETF. These assets are created under European Union securities laws, giving non-U.S. investors the opportunity to trade popular stocks and ETFs using blockchain technology.

Benefits of Tokenized Assets

Tokenized assets are backed by real stocks held by a licensed custodian, ensuring their value is directly tied to the traditional market. The use of blockchain technology offers several advantages:

  • 24/7 Trading: Transactions can occur at any time, unlike standard stock market hours.
  • Fractional Ownership: Investors can buy smaller fractions of a stock, making it more accessible to those with limited funds.
  • Increased Flexibility: More trading opportunities and greater accessibility for global investors.

INX’s Commitment to Accessibility

INX’s CEO, Shy Datika, emphasized the company’s dedication to expanding access to real-world asset tokens. He stated:

This expansion is another step forward in our mission to enable the trading of real-world asset tokens. We aim to list additional tokenized RWA through other strategic partnerships and regulations. We remain committed to advancing the accessibility and efficiency of the tokenized asset market, pushing the boundaries of global finance.

INX’s initiative to tokenize stocks and ETFs aligns with the growing interest in integrating traditional financial assets with blockchain technology. As the market evolves, more investors can benefit from the innovative solutions offered by tokenized assets.

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