Nasdaq Invests $100M in Kraken's Tokenized Stock Venture
Nasdaq Ventures is investing $100 million in Payward, the parent company of Kraken, to support its tokenized-equity program. This investment aims to introduce blockchain-based replicas of publicly-traded stocks in the form of Nasdaq Equity Tokens (NETs) by the second quarter of 2027.
The partnership between Nasdaq and Payward is a significant step towards integrating traditional market infrastructure with cryptocurrency trading platforms. Payward will roll out Nasdaq's market-surveillance technology on its crypto trading and tokenized-equity trading venues, enabling the tracking and monitoring of these new assets.
This move marks a major expansion for Kraken, which has shifted its focus from solely cryptocurrency trading to a multi-asset platform. The introduction of tokenized stocks raises questions about investor rights and the potential for manipulation in the market.