Coinbase has announced the launch of tokenized stocks on Coinbase Natively, allowing users to hold positions in US stocks and participate in DeFi

BlockBeats News, August 25th, Coinbase announced that its issued tokenized stocks have been officially launched on the Base chain, built on the B20 standard. The tokens are backed 1:1 by the underlying stocks held in actual bankruptcy remote custody by regulated custodian Alpaca, allowing token holders to have direct ownership of the underlying stocks. Non-U.S. users in globally compliant jurisdictions only need a wallet and internet connection to gain exposure to U.S. stocks without a brokerage account and settlement delays, and to trade anytime in a 24/7 AMM pool. The initial supported assets include Apple, Nvidia, and other companies.

As a standard B20 token, tokenized stocks can be freely held, transferred, and traded with no whitelisted wallets or platform lock-ins. Its key significance lies in DeFi integration, where users can use tokenized Nvidia stocks as collateral to borrow in Aave or deposit Apple stocks in a decentralized exchange to earn yield, transforming stocks from static assets in traditional accounts to on-chain programmable units of liquidity. Dividends and stock splits are handled through on-chain multiplier mechanisms to ensure uninterrupted DeFi holdings. Ecosystem projects such as Aerodrome and Aave have publicly supported the B20 standard.

Coinbase stated that more tokenized stocks will be listed in the coming weeks, and they will continue to drive the on-chainization of other real-world assets, opening up a new space for developers to merge traditional financial assets with the crypto-native ecosystem.