Kraken and Swiss tokenization firm Backed announced the launch of xStocks, a suite of tokenized equities, on the Ethereum network as ERC-20 tokens. This integration targets the decentralized finance (DeFi) infrastructure, allowing eligible Kraken clients to deposit and withdraw xStocks, which are fully collateralized 1:1 by underlying equities. The initiative follows xStocks’ successful performance on Solana, BNB Chain, and TRON, with over $3.5 billion in trading volume since its debut in June. Kraken co-CEO Arjun Sethi highlighted the multi-chain strategy behind the project, aiming to enhance accessibility and interoperability of tokenized equities across ecosystems. The move aligns with a growing trend of tokenizing traditional financial instruments on blockchain platforms, despite concerns such as limited shareholder rights and regulatory fragmentation. This development reflects an ongoing effort to integrate equities into the blockchain ecosystem, leveraging Ethereum's expansive reach within decentralized applications.

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