In July 2025, Gate, a global leading cryptocurrency trading platform, officially launched the xStocks trading area, allowing users to participate in tokenized stock trading directly using crypto assets such as USDT.
This innovative service converts star US stocks such as Coinbase, Nvidia, Tesla, and Apple into on-chain tokens, bridging the gap between the crypto world and traditional capital markets. As of July 18, this special zone has become the preferred entry point for crypto users to allocate global assets.
What is a tokenization of stocks?
Stock tokens are digital representations of real-world stocks on the blockchain, with each token corresponding to a share of a publicly listed company and fully backed by physical assets.
Unlike traditional stock trading, these tokenized assets operate on the blockchain, providing24⁄724/7 trading, fractional investment, on-chain free transfers, and other features.
They break the geographical limitations and time constraints of traditional finance, allowing global investors to participate in the US stock market without the need for local accounts or complicated compliance processes.
Through the compliance tokenization framework of the Swiss fintech company Backed Finance, each xStocks Token achieves a 1:1 asset reserve and is provided with real-time transparent verification by Chainlink’s Proof of Reserve system.
Trading Practical Guide
Trading tokenized stocks on the Gate platform only requires three steps:
- Account preparation: Complete registration and asset recharge through the Gate App, ensuring that the account holds sufficient USDT.
- Select trading mode: Enter the [Trading] interface and choose spot or contract market according to your needs. Taking trading Circle stock token CRCLX as an example:
Spot Trading: [Trading] → [Spot] → [CRCLX Market]
Contract Trading: [Trade] → [Contract] → [CRCLX Perpetual Contract].
- Execute trading strategies: Regular users can place orders directly; advanced users can enable Alpha mode to access professional charting tools and strategy analysis features.
As of July 18, the exclusive event for new users is still ongoing: complete your first transaction to participate in the sharing of 100,000 USDT contract experience vouchers, and have a chance to receive 100 USDT and 10 GT rewards.
The Three Unique Advantages of Gate xStocks
The World’s First Contract Trading Matrix
While the industry is still focused on spot trading of stock tokens, Gate has taken the lead in launching a tokenization stock perpetual contract market, supporting up to 10x leverage for both long and short positions.
This innovation allows crypto users to implement professional strategies such as hedging and arbitrage in the US stock market for the first time, completely unlocking the on-chain financial potential of traditional assets.
Borderless Trading Experience
- Zero geographical barriers: No KYC or traditional brokerage account required, global users can access through cryptocurrency wallets.
- Time liberation: Breaks the trading hour restrictions of the US stock market, supports 24⁄7Respond to global markets around the clock.
- Asset interoperability: Tokens support cross-chain transfers, compatible Solana and multi-chain ecosystems, enabling interaction with traditional DeFi protocols.
Integrating Traditional and Crypto Underlying Architecture
Gate has not simply replicated traditional stock trading logic, but has built a trading system optimized specifically for crypto users:
- Adopt a dynamic risk control mechanism to adjust the margin rate and leverage limit in real-time according to market fluctuations.
- By using modular liquidity pools, high-priced stocks like Apple and Google can be split into 0.01 share Tokens, significantly lowering the investment threshold.
- Connect to the Alpha strategy platform, providing programmatic interfaces and quantitative tools for high-frequency traders.
Advantages and Current Limitations
Core Advantages
- Real Asset Backing: All tokens are 100% supported by physical stock reserves.
- Cost Efficiency: Eliminates cross-border remittance fees and foreign exchange losses, with transaction fees lower than traditional brokers.
- Operational Freedom: Supports on-chain transfers and self-custody, allowing users complete control over asset keys.
Notes
- Shareholder Rights Limitation: Currently, holding tokens does not include voting rights at shareholder meetings or dividends from stocks.
- Regional Compliance Terms: Services are not currently available to users in the United States, Canada, the United Kingdom, and other regions.
- Price Volatility Correlation: The price of the token may be affected not only by the fundamentals of the stock but also by fluctuations in the liquidity of the cryptocurrency market.
The Key to a New Era of Finance
"Our goal is not just to add a new asset class, but to reconstruct the relationship between users and assets," emphasized Dr. Han, founder and CEO of Gate, during the brand upgrade in July. "By building a truly global and borderless investment platform, we aim to give everyone equal access to global financial opportunities."
With platforms like BYDFi and Kraken successively integrating into the xStocks ecosystem, the trading volume of tokenized stocks has surpassed 2.7 billion dollars in June.
Experts predict that by 2028, the on-chain U.S. stock market size will reach $5 trillion, fundamentally changing the paradigm of global capital flow.
When traditional finance meets blockchain, Gate xStocks is becoming the core hub of this transformation - writing rules with code, connecting the market with tokens, and allowing Wall Street to be open to the world 24 hours a day.
As of July 18, users can log into the Gate App and enter the xStocks section to trade multiple popular US stock tokens including NVDAX (NVIDIA), TSLAX (Tesla), and AAPLX (Apple) with USDT. New users who complete their first trade can still participate in the lucky draw of the day to win a 10 GT reward.
A new gateway to the crypto world has opened, and your first on-chain US stock trade is waiting to happen.
