Stock tokenization is a trend in on-chain Blockchain securities trading, helping people access the market more easily. However, issuers and these products still must comply with federal securities laws.
In light of the development of the tokenization market, experts and leaders predict significant growth potential while also warning about legal risks and appropriate approaches for investors.
MAIN CONTENT
SEC Commissioner Hester Peirce emphasizes that stock tokenization is securities and needs to comply with the law.
Robinhood and Backed Finance are pioneers in providing tokenized stocks, opening up new capital access opportunities.
Matt Hougan predicts that the Tokenization market will grow 4000 times, recommending investment in Layer-1 Tokens such as Ethereum, Solana.
What is stock tokenization and why is the SEC interested?
SEC Commissioner Hester Peirce affirms that stock tokenization is still securities and must comply with securities laws. She emphasizes the risk when investors buy Tokens from unlinked issuers may face custody asset risks.
Tokenization turns securities into digital Tokens on the Blockchain, facilitating fast and cross-border transactions. However, according to Peirce, while Blockchain is powerful, it cannot change the nature of the underlying asset.
"Even though Blockchain has great power, it cannot change the nature of the underlying asset. Tokenization of securities is still securities."
Hester Peirce, SEC Commissioner, July 2025
How to capitalize on the growth wave of the stock tokenization market?
In July 2025, Robinhood launched several tokenized US stocks for EU users, including private companies like OpenAI and SpaceX. Although these Tokens are not actual stocks, CEO Vlad Tenev said they help retail investors access private stocks.
Backed Finance also introduced xStocks on the Solana ecosystem, connecting with many exchanges like Kraken, Bybit, Gate to provide tokenized stocks and ETFs. The Robinhood CEO describes these Tokens as derivatives tracking the value of the underlying asset.
"Current tokenized products are similar to derivatives, not actual ownership of assets but open a new approach for investors."
Vlad Tenev, CEO of Robinhood, July 2025
Market reactions and expert opinions
Although many critics argue that the adoption of stock tokenization may take longer than expected, in some smaller or underdeveloped markets, this is an effective solution to access capital more easily.
James Seyffart, ETF analyst at Bloomberg, sees the SEC's message as a warning to tokenization providers like Robinhood and Backed Finance to comply with stricter regulations.
Matt Hougan, CEO of Bitwise, states that although adoption may be slow, the potential growth of the tokenization market could reach 4000 times in the coming years.
Matt Hougan, CEO of Bitwise, July 2025
How should one invest to benefit from the tokenization trend?
According to Matt Hougan, the most effective solution is to invest in Layer-1 foundational Tokens and related infrastructure companies like Ethereum, Solana, XRP, Chainlink to benefit from the Tokenization growth wave.
Token / Company Sector Growth Potential Ethereum (ETH) Layer 1 Blockchain & Smart Contract Huge scalability potential, many DeFi, NFT applications Solana (SOL) Layer 1 High-performance Blockchain Suitable for tokenized trading and DApps with low fees XRP Cross-border payments Applications in remittances and DeFi Robinhood Exchange & Tokenized Stocks Growth through expanding digital asset trading
Legal challenges and associated risks
Commissioner Peirce clearly warns that issuers of tokenized stocks must publicly disclose information and comply with securities laws. Otherwise, investors may face asset risk and fraud.
This is an issue that Robinhood, Backed Finance, and others must pay special attention to ensure transparency and compliance with laws in countries where they operate.
Frequently Asked Questions
What is stock tokenization? It is the conversion of securities assets into Tokens on the Blockchain, making transactions faster and easier. Why is the SEC interested in stock tokenization? Because tokenization is still a security, it must comply with laws to protect investors and ensure transparency. Is tokenization real stock? Currently, many Tokens are just derivatives tracking the stock price, not directly owning the asset. Where should one invest to benefit from the tokenization trend? One should choose Layer-1 Tokens like Ethereum, Solana, XRP, or reputable cryptocurrency exchange stocks. What risks does tokenization have? There are legal risks, loss of assets if the issuer is not transparent or does not comply with the law.
Source: https://tintucbitcoin.com/tokenized-securities-van-la-chung-khoan-sec-canh-bao/
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