Gemini Expands to EU: Tokenized MicroStrategy Stock Now Available
Gemini Brings Tokenized MicroStrategy Stock to the EU
Gemini, a leading cryptocurrency exchange, has announced the launch of a tokenized version of MicroStrategy (MSTR) stock for European Union users. This allows investors in the EU to access and trade shares of the Bitcoin-focused firm directly on the blockchain.
Gemini highlighted the limitations of traditional stock markets, including restricted trading hours, high fees for international investors, and limited regional access. Their solution offers a "frictionless" on-chain experience, allowing users to hold both crypto and stocks on a single platform without the complexities of cross-platform trading.
Tokenized Stocks: A Growing Trend
The initiative leverages a partnership with Dinari, a US public securities provider, utilizing a tokenization-on-demand model. This ensures investors receive the same economic rights as those holding the underlying security, where permitted. Gemini emphasizes that this model offers greater liquidity and transparency.
While MSTR is currently the only tokenized stock on Gemini, the exchange plans to introduce additional tokenized stocks and ETFs shortly.
European Market Interest in Tokenized Equities
Gemini's move reflects growing interest in bringing US-tokenized equities to the European market. This trend is evident with other platforms like Robinhood, which is reportedly developing a blockchain network to facilitate European trading of US securities, and Kraken, which also plans to offer tokenized US stocks to non-US clients. Coinbase is also seeking SEC approval to offer tokenized equities in the US.
MSTR Stock Performance: At the time of writing, MSTR closed trading down 0.71% on Friday but is up 3.84% over the past 30 days, trading at $383.88.
The Future of Tokenized Equities
Industry experts forecast significant growth in the tokenized equities market. Estimates suggest a potential trillion-dollar market. This expansion is driven by the increased accessibility and efficiency tokenization provides.
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