In the Web3 space, we’ve been talking about on-chain stocks for a while now. Well, it looks like the SEC is finally going for it!
Multiple reports suggest the Commission is moving forward with a plan to let real-world assets trade on-chain. So yes, that includes your favourite TradFi names like Tesla, Apple, Nvidia, and the rest of the “Magnificent Seven.”
Why Does This Matters?
Traditionally, stocks are chained to Wall Street’s rigid schedule—open from 9:30 to 4:00, Monday through Friday. Tokenization could smash that time barrier once and for all.
Picture this: buying Netflix stock at midnight after binge-watching your favourite series, or selling a few Tesla tokens while grabbing coffee on a Sunday morning. With tokenized equities, trading runs on crypto time (so basically whenever — 24/7/365).
That doesn’t just mean convenience; it could also unlock new ways to use stocks in DeFi ecosystems. Imagine staking, lending, or collateralizing tokenized equities the same way people do with ETH or stablecoins today.
Nasdaq Joins the Game
It’s not just the SEC making moves, Nasdaq wants in too! The exchange has filed a proposal to let tokenized stocks trade right next to traditional ones on the same order book.
If approved, this would bring blockchain-based settlement directly into the U.S. national market system. This means trades could become faster, cheaper, and smoother, essentially blending the infrastructure of Wall Street with the efficiency of Ethereum-style networks.
The Push and the Pull
Of course, not everyone is popping champagne bottles yet. Heavyweights like Citadel Securities are waving caution flags. Their concern? That faster, blockchain-based settlement could rattle liquidity and disrupt the finely tuned balance of traditional markets.
On the flip side, the opportunity is huge. Platforms like Coinbase and Robinhood are eager to jump in, seeing tokenized equities as the perfect way to diversify their offerings and attract a new generation of investors who live in both the crypto and TradFi worlds.
What’s Next?
If the SEC’s rumored “quick rollout” actually happens, we might start with a pilot phase featuring a few marquee stocks. Or, regulators could go bold, opening the door to tokenized versions of everything (from Big Tech to Car Brands).
Either way, this isn’t just a minor experiment. It could mark a fundamental shift in how financial markets work. Investors wouldn’t just buy stocks anymore; they’d move them like Bitcoin, integrate them into DeFi, and hold them in wallets alongside ETH and stablecoins.
The line between “stocks” and “crypto” is about to become thinner than ever, and the future of finance is looking a lot more like Web3.
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