Kraken-Backed xStocks Hits $10B Trading Volume in Just Four Months, Fueling Tokenized Equity Boom

XStocks, the tokenized equity platform launched by real-world asset tokenization firm Backed in collaboration with crypto exchange Kraken, has surpassed $10 billion in total transaction volume merely four months after its debut, signaling robust investor appetite for blockchain-based traditional assets.

The platform, which went live earlier this year, initially offered over 60 tokenized equities, including high-profile stocks like Nvidia, Amazon, Tesla, and Meta Platforms, alongside a selection of exchange-traded funds (ETFs). Each xStock token is fully collateralized 1:1 by the underlying share or ETF, issued through Backed's partnership with Kraken to ensure transparency and trust.

Operating across major blockchain networks—Ethereum, Solana, BNB Chain, and Tron—XStocks enables seamless trades and transfers, contributing to nearly $2 billion in on-chain transactions. The platform has attracted approximately 45,000 holders and manages assets worth $135 million, underscoring its rapid adoption in the crypto space.

This milestone reflects a broader trend toward real-world asset (RWA) tokenization, with competitors like Securitize and Robinhood Markets also expanding into tokenized shares and funds. However, the sector grapples with regulatory ambiguity. John Murillo, Chief Business Officer at B2Broker, highlighted, "It is crucial to understand that investors do not own actual shares; they hold tokens issued by intermediaries, which may entitle them to payouts if the underlying shares increase in value or are sold." This synthetic exposure places tokenized equities in a legal gray area between securities and crypto assets.

Data from analytics firm RWA.xyz indicates that the total value of tokenized public equities on-chain stands at around $666 million, excluding cumulative trading volume. Analysts project growth as more regions, including the European Union, Hong Kong, and Singapore, develop regulatory frameworks for tokenization pilots.

Despite unresolved legal questions, XStocks' early success points to increasing institutional and retail interest in hybrid financial markets, potentially reshaping how traditional assets are traded on blockchain infrastructures.