Crypto Exchanges Expand Beyond Crypto with Tokenized Stock Markets
The cryptocurrency market is expanding beyond its own assets as more platforms launch tokenized stock markets. Tokenized assets now account for 29% of total crypto market volume on perpetual DEXs, an increase of 18,000% since Q4 2025.
This growth can be attributed to reduced volatility in the crypto market, with Bitcoin's annualized 7-day realized volatility falling to 26% in May. This has led to a decrease in speculative turnover and made it less dependent on market cycles.
Exchanges are launching tokenized asset markets to tap into the traditional finance (TradFi) sector, which is characterized by lower volatility and long-term upward trends. The S&P 500 index, for example, follows a long-term upward trend with significantly lower volatility than crypto.