Tokenization News – Coinbase is seeking regulatory approval in 2025 to launch tokenized equities, aiming to compete with Robinhood’s tokenized U.S. stocks and ETFs for European users.
By leveraging blockchain for 24/7 trading and fractional ownership, Coinbase plans to expand its tokenized securities offerings, capitalizing on the $50 billion market projected by Bitwise.
This move intensifies competition in the tokenized asset space, with regulatory clarity from the SEC shaping the future of blockchain-based equity trading.
Tokenized Equities Enhance Accessibility
Coinbase’s proposed tokenized equities will allow investors to buy fractions of U.S. stocks, similar to Robinhood’s Arbitrum-based platform.
Blockchain enables instant settlements and low-cost trading, making high-value stocks accessible to retail investors.
This aligns with the growing demand for tokenized securities, offering 24/7 access and transparency.
Coinbase’s entry into tokenized equities could reshape retail investing, challenging Robinhood’s early mover advantage.
Regulatory Challenges for Tokenized Stocks
The SEC’s stance that tokenized stocks are securities requires Coinbase to navigate strict compliance measures.
Transparent blockchain records and adherence to securities laws are critical to securing approval. The EU’s MiCA framework offers a more favorable environment, potentially influencing U.S. regulators.
Regulatory clarity will determine Coinbase’s ability to launch tokenized equities, shaping the competitive landscape for tokenized securities in 2025.
Competition Drives Tokenized Securities Growth
Coinbase’s push into tokenized equities intensifies competition with Robinhood, which already serves European users.
Bitwise’s $50 billion forecast for tokenized securities highlights the market’s potential, driven by blockchain’s efficiency.
Coinbase’s established crypto infrastructure positions it to capture significant market share, especially if approved.
As tokenized stocks and ETFs gain traction, this competition is expected to accelerate innovation and adoption in the tokenized asset ecosystem.