X Stocks: Kraken and Back Finance Bring Tokenized Equities to Solana, Ethereum and Telegram

X Stocks: how Kraken and Back Finance bring tokenized equities to Solana, Ethereum and Telegram

How is the US stock market being tokenized so anyone can invest from 1€? In this MERGE Madrid talk, Kraken introduces X Stocks —the commercial brand co-launched with Back Finance— a product of 1:1 backed tokenized stocks and ETFs, MiFID-regulated in Europe and tradable 24/7 onchain. Cases include partnerships with Telegram, Bybit and decentralized exchanges on Solana and Ethereum.

What you'll learn

• What X Stocks are: tokenized US stocks and ETFs with 1:1 backing in collateral custodied by Back Finance
• Fractional buying from 1€: instant settlements, 24/5 CEX trading and 24/7 onchain vs. traditional markets
• Global, permissionless access: unlocking markets like Asia, Africa and South America where the underlying stock isn't available
• Key differentiators: 1:1 backing, real permissionless nature and MiFID regulatory check vs. synthetic or closed products
• Roadmap and distribution network: Solana, Ethereum, new blockchains, Telegram Wallet and plans for the Ibex 35 and other asset classes

Session summary

Product and 1:1 backing. Every X Stock issued —Tesla, Nvidia, Apple and others— is one-to-one backed by the underlying asset that Back Finance acquires and custodies. It's the digital version of the traditional equity, with fractional buying from 1€, instant settlements and 24/5 trading in centralized venues and 24/7 onchain in DeFi.

Traction after 4 months. Launched in June initially only on Solana, X Stocks has reached close to $5 billion in trading volume and over 35,000 users. The Ethereum rollout, Kraken Europe deployment and new partners are accelerating adoption week by week.

Differentiators vs. other tokenized products. Three keys: 1:1 backing with the underlying asset (no synthetic products), 100% permissionless nature (can be moved to self-custody wallets and used in DeFi) and regulatory check under MiFID in Europe, which doesn't appear in competing products.

Challenges: regulation, liquidity and education. The US and UK remain blocked at the regulatory level. Deep weekend and overnight liquidity is an active focus, as is market education on different standards and attributes of tokenized assets.

Watch the full session

Watch the full talk on MERGE's YouTube channel, with Kraken presenting X Stocks, the benefits of 1:1 tokenization and its roadmap toward a global, fractional and permissionless equity market.

FAQs

What are X Stocks?
Tokenized US stocks and ETFs issued by Back Finance and marketed under the X Stocks brand co-launched with Kraken. Each token is 1:1 backed by the real underlying asset custodied by the issuer.

On which blockchains are they available?
Initially on Solana, now also on Ethereum and deploying on new networks in the coming weeks. They can be freely moved to self-custody wallets and interact with DeFi protocols.

Are they regulated in Europe?
Yes. X Stocks has MiFID validation with an approved prospectus, allowing them to be marketed on platforms like Kraken in Europe with the corresponding transparency and security checks.

How much does it cost to invest in X Stocks?
You can buy from 1€. Fractional buying, instant settlements and 24/5 trading in centralized venues —24/7 onchain— are the main advantages over the traditional asset.