"Stock Tokens"?

T

terr

https://www.binance.com/en/blog/421...medium=GlobalSocial&utm_campaign=GlobalSocial

"Today, we are launching zero-commission, tradable stock tokens. Now, you can access both cryptocurrency and traditional stock markets, all from the comfort of your Binance account. Each stock token on Binance will represent one share of equity stock, which is fully backed by shares stored in a depository portfolio of underlying securities, in cooperation with investment firm CM-Equity AG and asset tokenization platform Digital Assets AG.

The first stock tokens on Binance will be of Tesla Inc., the largest automaker by market capitalization. Tesla stock tokens on Binance will have a minimum trade size of one-hundredth of a stock token, representing the same fraction of a Tesla share. Stock tokens are priced and settled in Binance USD (BUSD), a regulated stablecoin pegged to the U.S. dollar and issued by Paxos Trust Co."


(NOTE: I think this is only binance.com not binance.us, so it is not available to US traders).

Comments? Not sure exactly how this is different/better than regular stock trading. And I wonder if this is a pretty neat arbitrage opportunity for binance, at least for the first few months.
 
terr said:
https://www.binance.com/en/blog/421...medium=GlobalSocial&utm_campaign=GlobalSocial

"Today, we are launching zero-commission, tradable stock tokens. Now, you can access both cryptocurrency and traditional stock markets, all from the comfort of your Binance account. Each stock token on Binance will represent one share of equity stock, which is fully backed by shares stored in a depository portfolio of underlying securities, in cooperation with investment firm CM-Equity AG and asset tokenization platform Digital Assets AG.

The first stock tokens on Binance will be of Tesla Inc., the largest automaker by market capitalization. Tesla stock tokens on Binance will have a minimum trade size of one-hundredth of a stock token, representing the same fraction of a Tesla share. Stock tokens are priced and settled in Binance USD (BUSD), a regulated stablecoin pegged to the U.S. dollar and issued by Paxos Trust Co."


(NOTE: I think this is only binance.com not binance.us, so it is not available to US traders).

Comments? Not sure exactly how this is different/better than regular stock trading. And I wonder if this is a pretty neat arbitrage opportunity for binance, at least for the first few months.
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If they make them fungible this will be a laundering game changer.
 
This is something every big financial institution should be worried about.

The speed these new crypto exchanges operate at is something to be admired. Someone for example at FTX probably said one morning 'we should list the COIN IPO as a grey market'. Great idea the boss said and then 2-3 hours later it was listed all ready for their clients to trade.

Now imagine if Goldman's or JPM wanted to do the above? How many meetings, how many lawyers, how much regulation etc? It would probably take weeks to implement.

Personally I'd bet right now that an exchange like Gemini or Kraken is being viewed as a target buy from some of the big wall street names. JPM buys Gemini for example, it's probably 50-50 right now. Somebody's going to do it. Can they afford NOT to do it?

Also, on the finanacial transaction tax (FTT). What happens if it's made law, how much business can the new crypto exchanges pick up, because they ain't going to be charging no stinking FTT when they list the top 100 stocks for anyone in the world to trade. If you're a young kid in the Congo who's saved up $500, now you can easily trade stocks. Got to love how crypto is opening up the damn world...
 
Here you go -

"CME Group’s Micro Bitcoin futures contract, which is set to launch May 3 pending regulatory approval"

Pending regulatory approval being the main phrase.

But in crypto, they just do it, they get on with it and the market will then prove or disprove the new offering.
 
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