Trading platform eToro has announced plans to tokenize the 100 most popular US-listed stocks and ETFs, making them available on the $ETH blockchain as ERC-20 tokens. This step will allow users to trade these assets 24 hours a day, seven days a week, and better connect with decentralized finance (DeFi) systems.
eToro says that in the future, users will be able to take their tokenized stocks off the platform and store them in their own wallets or use them in DeFi protocols.
A company representative said, "Buy on eToro, redeem to your wallet, and even move it back—complete control. "
eToro's CEO, Yoni Assia, explained that tokenization helps remove traditional limits and provides users with more openness and control over their investments.
The company has been looking into tokenizing real-world assets for a long time. In 2019, they introduced tokenized gold and silver.
This announcement fits into a bigger trend of increased real-world asset (RWA) tokenization.
Just recently, Robinhood launched a new Arbitrum-based Layer 2 chain that offers tokenized stocks to European users. Similarly, Backed Finance has introduced over 60 tokenized blue-chip stocks on various exchanges and DeFi platforms, although access in the US is still limited.
Right now, tokenized stocks make up only $418 million of the $21.
3 billion total tokenized RWA market, according to data from RWA. xyz. Many people in the industry think there is a lot of room for growth. As STOKR CEO Arnab Naskar said at the TokenizeThis conference, the market is "a potential trillion-dollar opportunity. "
eToro's action supports the growing interest in tokenized equities, helping to connect traditional finance with decentralized ecosystems.
