UK's Biggest Companies Get Tokenized on Blockchain
The London Stock Exchange Group (LSEG) and Kraken cryptocurrency exchange have announced that they will tokenize shares of major UK companies. Starting September 1st, investors can access tokenized versions of over 100 top-listed companies through Payward's xStocks system.
Tokenized stocks are digital representations of traditional shares that trade on the blockchain 24/7. They are fully backed by the underlying securities and reflect their market value in real-time. This means that investors can buy and sell tokens representing major UK companies such as those listed on the London Stock Exchange (LSE), even if they don't have a physical presence in the country.
The xStocks system has already generated over $40 billion in trading volume, with nearly $20 billion of it occurring on-chain. The service is currently available to investors in Hungary and other EU countries but will be expanded to the US, Europe, UK, and Hong Kong in the future. The LSE is also exploring the possibility of issuing its own tokenized shares directly.