Crypto.com rolls out tokenized stock derivatives as crypto exchanges push into equities
Crypto.com has launched tokenized stock derivatives, allowing European users to gain synthetic exposure to major equities like Apple and Tesla using cryptocurrency. These products track underlying asset prices without granting actual shareholder rights, marking a significant expansion of crypto exchanges into traditional financial markets.
Why it matters
This development represents the accelerating convergence of decentralized finance and traditional equity markets, potentially creating a multi-trillion dollar asset class.
The exchange said Wednesday that eligible users in the European Economic Area and other approved markets can gain exposure to stocks including Apple (AAPL), Nvidia (NVDA) and Tesla (TSLA) as well as ETFs such as SPDR Gold Shares (GLD) and iShares Silver Trust (SLV). Positions start at $1 and can trade around the clock.
The products are derivatives issued by Foris Capital CY Limited that reference the price of the underlying stocks or ETFs. In other words, they provide synthetic exposure: if Apple shares rise, the corresponding product is designed to follow that move, but its holder doesn't become an Apple shareholder.
That means investors don't gain legal or beneficial ownership of the underlying securities and don't receive voting or other shareholder rights. They may receive dividend-equivalent adjustments, according to Crypto.com. The underlying assets supporting the products are held with U.S. broker-dealer Alpaca.
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