As the tokenization of physical assets (RWA) becomes the core narrative of the integration of blockchain and traditional finance, Backed's tokenized stock product xStocks is officially launched, allowing users to trade Tesla and other US stocks around the clock on Bybit and Kraken exchanges. It not only breaks the trading time zone and liquidity restrictions, but also integrates the Solana DeFi ecosystem, making stocks a digital asset that can be mortgaged, borrowed and create liquidity.
This article will deeply analyze its operating mechanism, product features and differences between it and traditional securities firms.
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ToggleWhat is xStocks? How to put US stocks on the blockchain?
According to Backed's official documentation (taking Tesla's stock token TSLAx as an example), xStocks is a "stock token" issued and minted by Swiss fintech company Backed on Solana. Each TSLAx token is backed by a real Tesla US stock and tracks the price of the underlying asset. The specific operation process is shown in the figure below.
Each of these stocks is traded and managed by the entity with compliant financial institutions and brokers, including Alpaca Securities in the United States, InCore Bank and Maerki Baumann in Switzerland. In theory, users buy the target stocks that Backed has already purchased in advance, and mint the corresponding number of stock tokens, which are circulated on various exchanges and DEXs.
xStocks tokens use the SPL standard on the Solana network, combined with Chainlink oracles and a proof-of-reserve mechanism to ensure that each token is fully backed by assets and reflects market prices in real time.
How is it different from traditional brokerage firms? Are the trading hours and shareholder rights the same?
Compared with traditional online brokers, xStocks has significant differences in terms of operating experience and shareholder rights:
It is worth mentioning that although xStocks does not have the right to vote or participate in shareholders' meetings, it will still incorporate dividend income into the price adjustment mechanism, which is equivalent to airdropping tokens to holders in proportion, allowing users to indirectly enjoy economic benefits.
Integrate on-chain liquidity: can be used as DeFi collateral and can also be used for liquidity mining
One of the biggest highlights of xStocks is that it is not just a stock asset, but also a "DeFi tool." These stock tokens can not only be bought from Bybit and Kraken exchanges, but can also be directly deposited into Solana wallets (such as Phantom) and traded or create liquidity in the following decentralized applications.
Raydium
Users can trade xStocks tokens on Raydium and perform liquidity mining (LP) to earn annualized returns ranging from 11% to more than 300%.
However, users should be concerned that these liquidity pools have low transaction volumes and relatively poor depth, which may cause users who want to trade or become LPs to suffer slippage losses. Taking the largest pool of TSLAx as an example, the liquidity is less than one million US dollars and the 24-hour handling fee is only 4,500 US dollars, not to mention other small pools.
Kamino Finance
At the same time, users can also buy xStocks tokens on Kamino Swap and pledge xStocks tokens to borrow stablecoins on Kamino Lend. In the future, it may integrate the establishment of liquidity pools or leverage operation functions.
However, I can only trade xStocks tokens through Swap on the official page , and I don’t see any mortgage lending services.
Jupiter
Similarly, users can also buy xStocks tokens on Jupiter , but the price impact is slightly greater than that of Raydium.
Today, xStocks allows users to no longer just hold stocks and passively wait for returns, but to further incorporate them into DeFi portfolio strategies, such as lending, liquidity mining, leveraged trading, and even trading complex structured commodities.
Trading is possible even when the market is closed: How are prices set on the chain?
Traditional brokerage firms usually do not open transactions when the US stock market is closed, but only open pending orders, and the liquidity of pre-market and after-market transactions is also poor. xStocks completely breaks the time limit and can still be bought and sold on the chain even on weekends or US holidays.
When there is no quotation in the spot market, how does the user's on-chain transaction price change? The answer is simple: just continue to trade . The oracle provides the last closing price as a reference, and users place orders based on news and market sentiment, and then connect to price data when the traditional market opens. At that time, it will be like a "prediction market", and price fluctuations are formed by market supply and demand.
In other words, xStocks’ stock tokens are expected to reflect the opening trend in advance during the traditional financial market closure period. On the one hand, it can show the market’s emotional reaction to the release of major negative news, and it may also generate arbitrage space and weekend trading opportunities.
From stocks to liquid components: Backed leads a new paradigm in the on-chain capital market
Today, xStocks not only moves stocks to the chain, but also redesigns the way the capital market works. It allows stocks to have similar composability and liquidity as cryptocurrencies, allowing users to conceive investment and arbitrage strategies 24 hours a day.
Although there are still challenges such as low liquidity and protocol security, Backed is undoubtedly one of the most groundbreaking stock tokenization cases at present, successfully paving the way for the global capital market on the chain.
Risk Warning
Cryptocurrency investment carries a high degree of risk. Its price may fluctuate drastically and you may lose all your capital. Please assess the risk carefully.
Elon Musk's social platform X has seen its latest high-level personnel changes. Nikita Bier, who was once a consultant for Solana Labs, has officially joined X as the product director. In the past, Bier sold two social apps he developed to Meta and Discord respectively. Now he has announced that he became a senior executive "by posting articles" and will invest in the integration of Grok and X.
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ToggleFounded a social app and sold it to Meta and Discord. He also served as a consultant for Solana.
Bier is known for founding several viral social apps, the most famous of which are tbh and Gas. tbh is a social app focused on positive interactions, which was acquired by Meta for more than $30 million in 2017. Gas is a teen social app that was acquired by Discord in 2022.
Bier then officially joined Solana Labs as a consultant in March 2025 to help promote mobile application development and ecosystem construction.
Jokingly claimed that he got to the top by crawling the Internet, and started to integrate Grok and X and strengthen the dynamic function
Shortly after Musk announced the acquisition of Twitter (X) for $44 billion in 2022, Bier took the initiative to post a message expressing his intention to serve as X's product director. On July 1 this year, Bier posted on X:
“Hello everyone, I have successfully climbed to the position of Product Manager of X by posting articles.”
He also posted a photo with Musk, and this post was also forwarded by Musk himself. Bier added:
“X is the most important social platform in the world. Internet culture started here, and the most influential people in the world also gather here.”
He will actively promote the integration of the AI chatbot Grok, allowing users to see a more personalized and real-time dynamic wall to help everyone understand the big and small things happening in the world.
X will not only promote payment services, but also may launch debit cards this year
Bier was once a consultant to Solana Labs. Coupled with Musk’s long-term support for Dogecoin (DOGE), this personnel change has also sparked discussions from the outside world, with some people believing that X is expected to integrate DOGE and SOL into the X payment service.
In fact, X has obtained financial licenses in 41 states since 2023, and Musk also announced in May this year that the online payment service "X Money" is currently undergoing internal testing. It is understood that X CEO Linda Yaccarino later said in June:
“Users will soon be able to invest and trade directly on X. X credit and debit cards are also being explored and may be launched this year.”
In general, X’s direction towards “combining financial payment and transaction investment” has gradually become clear, but whether it will introduce specific cryptocurrencies still attracts attention from the outside world.
Risk Warning
Cryptocurrency investment carries a high degree of risk. Its price may fluctuate drastically and you may lose all your capital. Please assess the risk carefully.
Robinhood provides European traders with a tokenization service for U.S. company stocks, which will be issued on the Ethereum-based blockchain Arbitrum. Qualified users will also receive OpenAI and SpaceX tokens. Robinhood's stock price has been rising in the past two years. Yesterday, it hit a new record high inspired by the news, and has risen 142% so far this year.
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ToggleRobinhood launches tokenized stocks in the EU
Robinhood launched tokenized stocks in the European Union, offering tokenized U.S. securities to 150,000 customers in 30 countries 24 hours a day, five days a week. Token holders will enjoy most of the benefits of the underlying securities, including dividends, but will not initially support voting rights. Robinhood also said that tokenized stocks will be like its stock trading launched in the United States, without any commissions and fees.
In an interview with Bloomberg TV, Robinhood CEO Vlad Tenev said: "It's time for cryptocurrencies to go beyond bitcoin and memecoin and introduce basic utility functions. We believe that in the future, cryptocurrencies and traditional financial services will be fully integrated, and cryptocurrencies will become the infrastructure layer behind various financial services, from payments (now stablecoins are beginning to reflect) to deposits."
Robinhood’s tokenized stocks will be issued on the Ethereum-based blockchain Arbitrum and will build a dedicated Robinhood Chain, but customers will not feel any difference in its interface, and the way to place orders is the same as for traditional stock accounts.
( Robinhood will launch its own Arbitrum L2 blockchain? Is it a rival to Coinbase Base? )
Qualified users will receive OpenAI and SpaceX tokens
To mark the launch, Robinhood will give away €5 worth of OpenAI and SpaceX tokens to every eligible EU user who joins and trades the equity tokens before July 7. The company has allocated $1 million worth of OpenAI and $500,000 worth of SpaceX for the event.
OpenAI and SpaceX were chosen because neither company is a public company and, historically, only insiders and ultra-wealthy investors have had access to equity.
Johann Kerbrat, senior vice president and general manager of cryptocurrency at Robinhood, said:
We are talking about solving the inequalities of the past. Now everyone can get it! The goal of tokenization is to allow anyone to participate in this economy.
HOOD shares hit new highs, up 142% year to date
The announcement challenges U.S. regulators’ hesitation toward tokenized assets, with the Securities and Exchange Commission yet to approve similar products, and could make Europe a testing ground for a paradigm shift in global finance driven by blockchain technology.
Kraken said last month that it would launch U.S. stock tokens called xStocks, which will be issued in select markets outside the United States. Coinbase also previously said it was seeking approval from the U.S. Securities and Exchange Commission to offer "tokenized stocks" to its customers.
( Coinbase plans to launch tokenized stocks, becoming the blockchain version of Robinhood )
Robinhood recently completed its acquisition of European cryptocurrency exchange Bitstamp. Robinhood will also launch cryptocurrency perpetual futures in Europe by the end of summer. These derivatives allow investors to predict asset prices without an expiration date.
Robinhood (stock code: HOOD) stock price has been rising in the past two years. Yesterday, it hit a new record high inspired by the news. It has risen 142% so far this year.
Risk Warning
Cryptocurrency investment carries a high degree of risk. Its price may fluctuate drastically and you may lose all your capital. Please assess the risk carefully.
US stocks rose and fell on Tuesday (7/1), and continued to hover at historical highs. Federal Reserve Chairman Powell, who has been bombarded by Trump for days, finally confronted Trump directly, saying that if it weren't for tariffs, the Fed would have cut interest rates long ago! Spot Bitcoin ETF has seen net inflows for 15 consecutive days, and the SEC has accelerated the approval of crypto ETFs. Will this give Bitcoin, which is hovering at a historical high, a chance to hit a new high?
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TogglePowell: Fed would have cut rates earlier if it weren't for tariffs
U.S. job openings hit their highest level since November in May, driven by gains in the leisure and hospitality sectors, while layoffs also fell. Federal Reserve policymakers have been describing labor market conditions as strong in recent weeks.
The U.S. government will release its June jobs report on Thursday, which is expected to show slower nonfarm payroll growth and a higher unemployment rate.
Federal Reserve Chairman Powell was recently criticized by Trump again. Powell attended the European Central Bank forum held in Sintra, Portugal on Tuesday. Powell also made a direct confrontation for the first time, saying that if Trump had not expanded the use of tariffs, the Federal Reserve would have cut interest rates long ago. However, Powell did not rule out the possibility of a rate cut at the end of July, saying that the Federal Reserve is still looking at the data one by one to decide the pace of rate cuts.
According to the CME FedWatch Index, traders generally expect the Fed to cut interest rates again in mid-September, with a chance of a one-point cut in October and December, a change from the previous expectation of two rate cuts before the end of the year.
Spot Bitcoin ETF has seen net inflows for 15 consecutive days, and the SEC is accelerating the approval of crypto ETFs
With Bitcoin prices less than 5% from their all-time highs, the streak of net inflows into U.S. spot Bitcoin ETFs has extended to 15 days, totaling $4.7 billion.
"It's close to $5 billion in new money," said Nate Geraci, president of the ETF Store. "Not $5 billion in a year, but $5 billion in the last 15 trading days."
Many experts previously believed that the maximum amount of the US spot Bitcoin ETF would reach US$5 billion in the first year.
The U.S. Securities and Exchange Commission (SEC) recently accelerated the approval of crypto ETFs. Following the first pledged SOL ETF "REX-Osprey Solana and Staking ETF", it once again approved Grayscale's Grayscale Digital Large Cap Fund LLC . This fund also invests in BTC, ETH, Solana, Cardano and XRP, which may indicate a positive trend for more cryptocurrency fund proposals in the future.
Risk Warning
Cryptocurrency investment carries a high degree of risk. Its price may fluctuate drastically and you may lose all your capital. Please assess the risk carefully.
