Kraken's Yield Vaults Bring Tokenized Stocks to DeFi

Kraken has launched yield vaults for tokenized stocks, allowing users to put their xStocks to work through onchain lending infrastructure powered by Kamino. The initial rollout covers SPYx, QQQx and NVDAx, giving holders exposure to the S&P 500, Nasdaq 100 and Nvidia while adding a yield component.

The key shift is that tokenized equities are no longer being treated only as assets to hold or trade, but as productive collateral inside DeFi. Users can access the strategy from Kraken without manually managing onchain steps, bringing a familiar interface to a comparatively complex lending workflow.

Behind the product, deposited xStocks move into vault infrastructure and are deployed as collateral in Kamino markets. Stablecoins are borrowed against those positions and placed into yield-generating strategies, with rewards converted back into the same xStock and redeployed.