Tokenization of US Stocks: A Stress Test for On-Chain Finance

Recently, the tokenization of US stocks has become a hot topic in the market, sparking widespread discussion. This phenomenon is not just a simple trend; it represents an important stress test for on-chain finance. It will examine whether the Web3 world can truly support the issuance, trading, pricing, and redemption of mainstream financial assets.

This is not a completely new concept. As early as 2019, some trading platforms attempted the tokenization of US stocks, but ultimately ceased due to regulatory reasons. Today, the compliance path led by licensed institutions has made stock tokenization possible again.

Taking a well-known platform as an example, its stock tokenization service launched in Europe adopts a "broker proprietary + on-chain issuance" closed-loop model. The platform is licensed in the EU, purchases real US stocks, and issues tokens that are 1:1 mapped on the blockchain. From custody, issuance to clearing and settlement, user interaction, the entire process is seamless, providing a trading experience close to the combination of securities accounts and crypto wallets.

The rise of this round of stock tokenization frenzy is attributed to the resonance of several core factors. Firstly, the regulatory environment has loosened, as seen with the implementation of the European MiCA legislation and the softening stance of the US SEC. Secondly, on-chain funds are looking for new asset outlets, and the gap between traditional financial markets and the cryptocurrency market is gradually narrowing.

For the cryptocurrency industry, stock tokenization is both an opportunity and a challenge. It brings high-quality assets and provides new avenues for on-chain funds, while also potentially reshaping the flow structure of on-chain funds. This could drive the overall quality improvement of Web3 projects, but it may also put pressure on native crypto projects.

On the positive side, traditional finance's "blue chip assets" entering the blockchain world provides more options for stable asset allocation. This helps to re-establish the basic coordinates of capital allocation. At the same time, it may also produce a "catalyst effect," driving the entire industry towards higher quality development.

However, this trend may also pose challenges for crypto-native projects. Not only is the narrative being hijacked, but the on-chain funding structure and user preferences may also be reshaped. When tokenized stocks begin to venture into perpetual contracts, lending, and other areas, they will directly compete with native assets for stablecoin traffic and user attention.

For project parties, financing may become more difficult. As more traditional high-quality assets enter the blockchain, investors and users' criteria for judging what is "worth investing in" and "pricing anchors" may change.

The development of stock tokenization prompts us to rethink: Can Web3 become a system that carries mainstream assets and real trading behavior? Can we build a securities system with lower friction and higher transparency than traditional markets through an open financial structure? The answers to these questions will gradually be revealed in future developments.