- Tokenized stocks have increased in value from $5.49 million to $916 million over the past 3 years.
- Among the top tokenized stocks onchain are Circle’s CRCLon and CRCLx, Exodus Movement’s EXOD, and Tesla’s TSLAx.
As the digital asset sector matures, the conversation in its ecosystem is no longer about how these new investment instruments are putting traditional finance (TradFi) out of pasture. From the “it’s us or them” debate, it has moved forward, paving the way for the convergence of the old and new frontier in finance, and with blockchain as the staging point.
Tokenized stocks are gaining significant traction because they represent the best of both the old and the new worlds. They are embedded with the regulatory weight and track record of blue-chip equities while benefiting from the borderless, widely accessible, and high-velocity infrastructure of decentralized finance (DeFi).
This article takes a deep dive into conventional stocks and their tokenized counterparts, exploring their growth potential amid the rising market for tokenized real-world assets (RWAs). It likewise examines the top securities tokens making their mark in the sector.
What are Stocks
Stocks, in the context of this topic, represent a share or ownership in a corporation. Securities commissions, such as the US Securities and Exchange Commission (SEC), regulate traditional stocks because they fulfill the requisites of an “investment contract” based on the standards set by the US Supreme Court in the landmark Howey Test.
By nature, stocks are vehicles for investing money in a common enterprise. Investors purchase them with the expectation of profit, based on the company’s efforts. Hence, all of these fall under the category of securities, requiring their issuers to submit rigorous disclosures and financial reporting for transparency and investor protection.
Centralized exchanges, like the New York Stock Exchange (NYSE) and Nasdaq, facilitate their trading within fixed operating hours and settlement cycles. Typically, these rely on intermediaries, such as transfer agents, clearinghouses, and central securities depositories (CSDs). These entities validate and record their transactions and settlements in a centralized ledger to track their ownership.
Tokenized Stocks
The US market shifted to a T+1 (one-day) settlement cycle in May 2024 to reduce the risks associated with investors’ longer waiting periods. After all, time is money in capital markets, and opportunities don’t really last that long.
Despite the upgrade, traditional stock markets appeared outdated compared to the atomic settlement of digital assets. As a result, several exchanges have begun moving their operations on-chain to unlock efficiency amid the highly competitive market while addressing investors’ demand for T+0 (instant settlement), round-the-clock trading, and greater accessibility.
Tokenized stocks offer a solution to expand the limits of traditional securities. The process involves creating digital tokens that serve as digital twins of companies’ stocks. Besides the broader accessibility and efficiency brought about by the reduction of intermediaries, they lower the entry barrier toward investing by allowing fractional ownership of shares.
Recently, the SEC and the Commodity Futures Trading Commission (CFTC) agreed for a cooperation in overseeing tokenized RWAs, but those classified as securities remain within the former’s exclusive jurisdiction.
Types of Tokenized Stocks
RWAs offer plenty of avenues for tokenizing stocks. So far, the existing models are based on the following:
1. Direct (Native) Tokenized Securities
Natively-issued tokens are pretty straightforward. Companies directly convert their stocks into digital tokens, thereby turning each asset into a representation of the original equity.
Companies do not course the tokens’ issuance through intermediaries or wrappers. Additionally, the blockchain itself verifies them and serves as the primary reference of their ownership records, rather than certificates.
These tokens carry the full legal weight of company shares, giving holders voting rights and dividend claims.
2. Asset-Backed Digital Twins (Custodial Model)
This model is the most common standard of stock tokenization. A regulated financial institution, or the wrapper provider, purchases a real share of a company’s stock and holds it in a traditional brokerage account or Central Securities Depository (CSD). Then, it mints a 1:1 representation of the token on the blockchain, mirroring the price of the underlying stock.
It’s worth noting that investors only have a contractual claim against the custodian of the stock, not a direct seat at the company’s shareholder meetings.
3. Synthetic Stocks (Derivative Model)
Synthetic stocks function as on-chain Contracts for Difference (CFDs). The tokens reference Price Oracles to track the real-time value of a stock. Meanwhile, the issuer maintains the price of each token through over-collateralization with other crypto assets via a smart contract.
Token holders similarly don’t have ownership or a dividend claim in the mirrored stock.
Tokenized Stocks by the Numbers
As of March 21, 2026, the RWA market is worth approximately $715.41 billion, according to RWA.xyz data. Tokenized stocks account for $916 million in market share, indicating a colossal leap from their $5.49 million valuation three years ago.
Tokenized stocks have recorded around $2.35 billion in 30-day transfer volume across 68,976 monthly active addresses and 190,260 holders as of writing, signifying sustained market momentum.
Tiger Research, a Web3 specialist, estimated that the tokenized stock market could balloon to a $1.34 trillion industry by 2030, driven primarily by regulatory clarity and mature infrastructure.
Best Performing Tokenized Stocks
Leading the charge in the category in terms of market value are the following projects:
1. Circle Internet Group
Circle Internet Group, the issuer of the USDC stablecoin, has tokenized its stocks directly via the Ondo Finance (ONDO) platform to enhance its availability to non-US retail and institutional users. The asset trades with the same exposure as CRCL Class A common stock with a dividend reinvestment feature.
Tokenized under the ticker CRCLon, the digital asset has grown its total value to around $94.81 million, with a monthly transfer volume of $400.74 million. It is currently available on the BNB Chain (BNB), Ethereum (ETH), and Solana (SOL), with 748,451.76 units in circulation.
2. Exodus Movement
Exodus Movement’s EXOD is a Class A common stock issued natively on the Securitize platform. The tokenized stock has a total value of $66.31 million and a circulating supply of 8.985 million on the Algorand (ALGO) network.
The issuer is a DeFi-focused fintech company. It is popular for its self-custodial crypto wallet for desktop and mobile devices.
3. CRCLx xStock
Circle also issues a tokenized version of its stock via the xStocks platform. The natively issued token has 383,907.42 units in circulation across the Ethereum, Solana, and Mantle (MNT) chains.
CRCLx has a market cap of $48.38 million and a monthly transfer volume of $171.04 million.
4. Tesla xStock
TSLAx is a wrapped and fully-backed token based on EV maker Tesla’s TSLA common stock. The asset digitized on xStocks has a circulating supply of 128,763.96 and an overall valuation of $47.38 million.
Tesla’s tokenized stock is available on Ethereum, Solana, and BNB Chain.
Conclusion
Tokenized stocks are no longer just a niche experiment. In just a few years, they have become the catalyst for a global, 23/5 to 24/7 capital market that operates with the transparency of a public ledger and the legal certainty of TradFi.They are rebuilding global finance on-chain, rewriting the rules of ownership.
