Purchasing stock shares has not been easier especially for retail investors, but this is set to change as tokenization of stocks on the blockchain is opening doors for everyone who wants to buy stocks of public companies to do so. Bittrex Global U.S-based cryptocurrency exchange has announced a new tokenized stock trading that enables customers to buy shares of publicly listed companies such as Facebook, Google, and several others.
Investors and traders now would be able to access stocks of listed companies without the need of relying on external brokers or paying additional fees.
Bittrex has partnered with DigitalAsset AG Switzerland-based tokenization solutions provider to facilitate the listing of tokenized stocks on its digital asset exchange.
Traders and investors can buy shares using either Bitcoin (BTC), Tether (USDT), or U.S Dollars at any time 24/7.
The tokenized stocks available through Bittrex crypto exchange would enable customers to buy a fraction of stock without the need of buying entire shares.
Customers can now switch between cryptocurrencies and stocks whenever they find a good market opportunity.
Bittrex also plans to expand its services to give customers exposure to other asset classes such as indices, Exchange-Traded Funds (ETFs), and many more.
Tom Albright, Bittrex Global’s CEO, said: “The traditional stock exchanges of the world’s financial capitals have for centuries set the terms for engagement and trading. Clearing systems are inefficient and complex and trading small volumes can be expensive and take days, all of which is totally unnecessary given the technological advances that have been made in the last decade. Blockchain technology has the potential to radically broaden access to financial services.”
Customers can now buy and trade stocks of companies publicly listed on U.S exchanges. This includes large publicly traded companies like Tesla (TSLA), SPDR S&P 500 ETF (SPY), Alibaba (BABA), Beyond Meat Inc (BYND), Pfizer (PFE), Apple (AAPL), BioNTech (BNTX), Facebook (FB), Google (GOOGL), Netflix (NFLX), Amazon (AMZN), and Bilibili (BILI).
The power of blockchain is democratizing wealth, majorly by lowering barriers to entry in traditional financial services. Even poor people can own fractional shares in leading traditional stocks like Tesla, Facebook, Apple in “digital” form. Tokenized stocks can be traded alongside over 250 crypto assets on Bittrex digital asset exchange.
Evolving Business Models in Securities Exchanges
As the role and popularity of blockchain continue growing, many businesses are finding it convenient to convert their equity shares into digital assets. Many stock and securities exchanges now connect traditional financial markets with crypto assets. They allow users to trade and invest in traditional assets like trade stocks, commodities, and ETFs by converting them into digital assets on a modern and advanced blockchain designed for the financial industry.
Asset tokenization is a new revolutionary process, where real-world assets become digital tokens that can circulate transparently and securely on the blockchain. Tokenization enables investors to liquefy real-world assets into digital assets while retaining the characteristics of the asset.