#What is Binance’s strategy for reviving stock trading?
Binance is actively working to restore stock trading on its platform, a service it halted in 2021 due to regulatory concerns. Originally, Binance introduced tokenized equities in April 2021, beginning with popular stocks like Tesla and later adding shares from companies such as Microsoft and Apple. However, by July of the same year, the service was discontinued after regulatory bodies in the UK and Germany raised significant questions about compliance with securities laws.
The renewed effort by Binance comes as there is growing interest in tokenized equities within both the crypto and traditional financial sectors. Companies like OKX are also looking into stock-linked products, indicating wider industry interest.
#How are on-chain platforms influencing stock trading?
In the United States, the movement toward bringing securities onto blockchain platforms is gaining traction. The New York Stock Exchange and Nasdaq are both in pursuit of regulatory approval for launching tokenized stock offerings. This trend highlights the shifting landscape of investment strategies, which may offer more flexible trading options.
On-chain platforms are stepping in to meet the increasing demand for innovative equity trading solutions. Currently, Ondo Finance operates a global market platform that provides over 250 tokenized stocks and ETFs. Similarly, xStocks also presents opportunities for on-chain exposure to significant equities, whether through decentralized or conventional trading venues. This underscores the growing investor interest in tokenized stocks, marking a potential shift in how equities are traded in the future.