Backpack Securities has launched a tokenized version of the iShares MSCI Brazil ETF (EWZ) on Solana through Sunrise, enabling crypto-native investors to gain exposure to Brazilian equities via blockchain-based infrastructure. The launch landed just as Brazilian markets staged a sharp post-election rally.
On Monday, EWZ jumped roughly 13%, Brazil’s benchmark Bovespa index gained more than 8%, and the Brazilian real strengthened over 4% after the first-round presidential election. Senator Flávio Bolsonaro finished first with about 47% of the vote, while President Luiz Inácio Lula da Silva received roughly 45%, forcing an October 25 runoff. Markets interpreted the result as increasing the possibility of a more market-oriented fiscal agenda.
The tokenized EWZ is redeemable 1:1 for corresponding traditional iShares MSCI Brazil ETF shares and is transferable to traditional brokerages. Backpack Securities, which launched earlier this year, is working with Sunrise to convert traditional securities into Solana-based tokens that can later be redeemed for the corresponding security entitlements.
The following day, the iShares MSCI Brazil ETF recorded an unprecedented $700 million single-day inflow, the largest in its 25-year history, with trading volume also reaching an all-time high. The roughly 12% gain ranked among the top 10 daily performances for the fund, signaling a broad reallocation of capital toward Brazilian assets.
According to DefiLlama, the market capitalization of tokenized equities had increased ninefold over the previous year to more than $3.7 billion by August. Its dashboard currently tracks around $2.7 billion in onchain public equities, with about $196 million actively deployed across DeFi, underscoring how tokenization is expanding beyond experimental products.
