Coinbase, the largest cryptocurrency exchange in the United States, made a raft of announcements on December 17th after teasing the date on their X account.
One of these announcements was that Coinbase will be tokenizing stocks and making them available to buy within the platform. This would first roll out in the US and then later across other countries.
Traditional stocks are already available to buy on Coinbase in the US, however this is only the first step, the next step is to tokenize those stocks so that they will be tradeable tokens on a blockchain.
What are Tokenized Stocks?
Tokenized stocks are basically a digital version of a real world stock, it has been issued by a regulated provider and represents the real share one to one. It is issued on a blockchain.
Coinbase stated in their announcement that “In time, we believe everything will be tokenized”. To that end, Coinbase has already launched its Coinbase Tokenize section of its website.
Larry Fink, CEO of Blackrock, also stated in an interview on CNBC that “I do believe we’re just at the beginning of the tokenization of all assets”.
This means that not only stocks will be tokenized, but also real estate, artwork, bonds and practically any asset.
What are the Benefits?
Faster Settlement
The main benefit is the speed of settlement. When you sell a traditional stock it can take two business days to actually clear and have the money available to withdraw. Tokenized stocks however would settle almost instantly because they are issued on a blockchain.
24/7 Trading
Instead of waiting for the stock market to open, tokenized stocks can be bought at any time. This means you can react to market news instantly.
Lower Costs
Traditional stock brokers sometimes have high fees, blockchain settlement could potentially reduce these fees.
Fractional ownership
Tokenized stocks can be divided into small fractions, this means users can invest in more expensive stocks such as Apple for example by buying a smaller fraction. Fractional ownership is already possible with some stock brokers, however when it comes to transferring a fraction of a stock to another broker it becomes more difficult.
Global Access
Theoretically, anyone with a compatible wallet would be able to transfer and withdraw tokenized stocks across the world depending on local regulations.
Existing Tokenized Stock Offerings
Some exchanges like Kraken and Bybit have already begun offering tokenized stocks. These are Solana based tokenized stocks. More recently, Kraken has also brought tokenized stocks onto Ethereum.
Gemini crypto exchange has already launched tokenized stocks for EU customers. These are issued on the Arbitrum blockchain, a Layer-2 network built on Ethereum.
Bybit has also issued tokenized stocks on the Mantle blockchain, again a Layer-2 network built on Ethereum.
What Coin is Likely to Benefit the Most from Tokenization?
Ethereum is widely expected to benefit the most from the tokenization of stocks and real world assets. This is because most tokenized assets are built using Ethereum standards, and Ethereum is the dominant network.
Even if Layer-2s are used, it still benefits Ethereum as transactions are ultimately settled on the Ethereum mainnet.
Coinbase will use its Base network which is also an Ethereum Layer-2.
Other blockchains such as Solana are set to benefit and are already being used by Kraken and Bybit. When it comes to speed and lower cost, Solana could be used.
Compatible Ethereum Wallets
As traditional stocks become tokenized across the world, coins like Ethereum and Solana look set to benefit massively.
However, stocks or coins held on exchanges means they would still hold the private keys to your assets. Given that Bybit was hacked earlier this year, many investors are taking back ownership by using their own self-custody wallet.
Among the top options gaining their attention is Best Wallet, a self-custodial wallet that supports Ethereum and other major blockchains, giving users full control over their assets without sacrificing access to a wide range of tokens.
Interestingly, beyond its self-custodial and multichain posture, there are several other reasons why Best Wallet stands out as a leading wallet option heading to 2026. First is that it is a mobile-based wallet, meaning users can use it anytime, anywhere, even while on the move.
Second, it is an easy-to-navigate, feature-packed solution built to deliver more than just the traditional wallet functionalities without demanding KYC checks. Alongside Ethereum, the platform also supports Solana, Bitcoin, Polygon, Base, and even Binance Smart Chain. Hence, users can buy, send, receive, and swap cryptos on supported networks without switching from one interface to another.
Investors will even be able to explore high-yield staking facilities as well as promising presales capable of delivering excellent returns this year. Considering the aforementioned features, experts have dubbed Best Wallet as not only the easiest way, but also the most reliable gateway to buy cryptocurrencies this year.
Download Best Wallet
This article has been provided by one of our commercial partners and does not reflect Cryptonomist’s opinion. Please be aware our commercial partners may use affiliate programs to generate revenues through the links on this article.