Original | Odaily (@OdailyChina）
Compiled | Wenser (@wenser 2010 ）
Over the past two weeks, the wave of securities tokenization has been surging, with multiple mainstream crypto exchanges successively launching blue-chip US stock token trading services.
Seizing this opportunity, Odaily hosted an online Space this Wednesday titled "Securities Tokenization Wave: Buying Apple and Nvidia Stocks for 1 USDT - Revolution or Bubble?", specially inviting platforms like MyStonks, Bybit & Byreal, GoRich, and well-known crypto KOLs to deeply discuss key issues of securities tokenization from platform operations and user perspectives.
Guest List:MyStonks Founder Bruce, Bybit Spot Head & Byreal Founder Emily, Bit.com GoRich Business Head Raymond, Crypto KOL "Bitcoin Factory Director" and Crypto KOL "Kaylin".
The discussion focused on industry core concerns, producing many insights in areas such as platform compliance operations, exchange differentiated competition paths, and user income sources and risks. Odaily has carefully selected and compiled the core viewpoints for readers' reference.
[The rest of the translation follows the same professional and accurate approach, maintaining the original meaning while translating into clear English.]Q2. Many people view securities tokenization as a "Trojan horse" from traditional financial markets into the crypto market, believing it will further compress Altcoin liquidity and market trading space. How do you view this perspective?
MyStonks Founder Bruce: I don't think this statement is accurate. First, recently listed US companies have been purchasing mainstream cryptocurrencies like BTC, ETH, BNB, SOL, and Altcoin liquidity is already declining even without securities tokenization. Second, securities tokenization will help expand the crypto market scale. Compared to the crypto market with less than $4 trillion in market value, US stocks alone have a market value of $36 trillion, not even counting US bonds. After securities tokenization, investors not interested in Altcoins may invest in US stocks, Nikkei, Middle Eastern stocks, or even Hong Kong stocks. Third, most users' demand for trading Altcoins is essentially about getting rich quickly, but traditional US and Nikkei markets also offer many opportunities for wealth, potentially even surpassing Altcoins.
[The rest of the translation follows the same professional and accurate approach, maintaining the original meaning while translating to fluent English.]Raymond, Business Head of Bit.com GoRich: Actually, there are many risks associated with equity tokens of unicorn companies, such as stock trading restrictions, authorization credibility, and challenges in ensuring the mapping relationship between on-chain tokens and real private equity, as well as trust and audit issues. However, GoRich views this market as an attention economy game, so once the timing and conditions are mature, we will quickly follow up on private equity token agency for some unicorn companies, of course, we will also do good screening. Because we are a trading intermediary or aggregator, after due diligence, we will promptly respond to market hotspots. In the future, whether it's Robinhood or other on-chain IPO platforms, once a platform with potential or depth appears, we will definitely follow up quickly.
Crypto KOL Bitcoin Factory Director: In my personal opinion, currently, tokenized securities products can be divided according to different risk levels. For example, platforms like xStocks and MyStonks list stock tokens of well-known companies like Apple, NVIDIA, and Tesla, which are relatively easier to handle in terms of liquidity and regulatory resistance. Robinhood's unlisted company equity tokens naturally have the highest risk coefficient and might be more attractive to retail investors due to potentially high returns and legal risks. Bonds fund revenue rights under Goldman Sachs have a relatively moderate risk level because they do not involve ownership changes, thus having higher compliance. To some extent, listing unlisted company equity tokens disrupts traditional IPO logic but also carries risks like OpenAI not recognizing equity, mandatory token redemption, or trading suspension. Robinhood's attempt can be considered an aggressive experiment, but overall, it's good.
Crypto KOL Kaylin: I quite agree with Emily's view that it will bring certain traffic and attention in the short term, but long-term risks such as non-transparent asset packaging and regulatory risks are very real.
Q4. Currently, there are several types of securities tokenization: the first is launching spot and derivatives based on stock market data, and the second is 1:1 anchoring with real "real stock asset reserves". How do you view these two methods? What are their advantages and disadvantages? (If real stock assets are listed, will the platform provide transparency statements, verification methods, and audit reports?)
MyStonks Founder Bruce: Indeed, the current solutions include one where xStocks' on-chain market maker builds a pool on Solana Raydium, but for users, there are high slippage and uncertain trading times. MyStonks now follows a 1:1 anchoring method using an order book model, which requires asset reserve proof. On-chain, this means security audits in the crypto industry; off-chain, it involves independent audit firms verifying the actual stocks held by cooperation partners and our custody. We are doing both audits, and we have already issued an audit report for the first token issuance, with monthly updates to follow.
Emily, Spot Head of Bybit and Founder of Byreal: Bybit currently has an open platform entry, like a sub-section, allowing users to directly deposit stablecoins and trade gold, commodities, and US stocks. Currently, it uses a CFD model, with price anchoring achieved through oracles like Chainlink, which makes compliance easier to avoid securities attributes. For financial innovation technology, asset confirmation is crucial, so we chose to collaborate with xStocks, which has relatively comprehensive audit compliance. Additionally, xStocks' advantage is that it is not affected by US stock market closures, using pre-market and post-market prices for anchoring, and will have more market makers joining, improving market liquidity and trading experience.
Raymond, Business Head of Bit.com GoRich: We have currently launched stock trading on xStocks and Backed based on Base, and are actively engaging with Coinbase and Robinhood. Currently, US stock token trading volume and pool anomalies are excessive, with frequent price spikes and potential manipulation by a few users. Robinhood's approach is quite experienced, using a 5 × 24-hour mechanism instead of 7 × 24 hours, which GoRich will also follow for compliance. Therefore, GoRich is currently conservative in risk exposure management, trying to minimize the possibility of sudden situations and prevent user asset losses.
Crypto KOL Bitcoin Factory Director: I believe synthetic assets are suitable for crypto users who pursue high risk, high returns, or high capital turnover efficiency, but they also need to bear systemic risks. Physical assets with 1:1 anchoring and relative transparency are more favored by mainstream institutions because they essentially solve compliance and redemption flexibility issues. Both will coexist in the future.
Q5. Traditional stock markets have trading hours, while crypto is 7*24 hours. How can tokenized securities assets avoid de-anchoring during market closure? What solutions do different companies have?
MyStonks Founder Bruce: Honestly, MyStonks currently doesn't have a very good solution. Two months ago, we discussed building a liquidity pool on Uniswap but decided against it due to internal compliance considerations. Although being the first to try might offer opportunities, the first one might also get "pinched". As Chinese entrepreneurs, we are more inclined to a follow-up strategy, observing what others do and the SEC's reaction before taking action. Although the current SEC has a good regulatory attitude, with the chairman even saying "you can do it or not, we might not manage it", stock price de-anchoring still poses many risks, and we are working to find better solutions.
Emily, Spot Head of Bybit and Founder of Byreal: Bybit has indeed introduced external market makers to provide liquidity, but in the early stage, liquidity was clearly not very good, especially with the first US stock token CoinX experiencing price spikes. However, subsequent tokens have improved as market-making strategies are continuously adjusted. For market closure, the current solution is through strict monitoring of price differences, introducing multiple oracle systems on-chain, and considering future market-making liquidity guarantees by combining CeFi and DeFi. New developments are expected by the end of the month.
Raymond, Business Head of Bit.com GoRich: GoRich has now aggregated pools for US stock tokens. Additionally, we will set up automatic alert mechanisms when users trade tokens similar to crypto honeypots or with extreme volatility, such as warning users about high transaction slippage or significant principal loss. As a trading aggregator, GoRich hopes to convey a trading concept to users, change some users' incorrect trading habits, and through platform features like automatically setting 30% or 100% gain triggers, help users earn money in the high-intensity, high-risk crypto market while ensuring principal protection.
Q 6. Regarding entry thresholds, will platforms restrict user qualifications or have other KYC and trading barriers?
MyStonks Founder Bruce: Although more people in the crypto industry hope to cancel KYC policies and achieve true decentralization, MyStonks still needs to comply with US-related laws, and we are also working on STO application (Odaily note: Securities Token Offering license).
Bybit Spot Head and Byreal Founder Emily: First, all information can be found in our terms and conditions, and there are restrictions for users in high-risk jurisdictions. Additionally, xStocks' US stock token spot is in our innovation zone, and there are certain limits on user position sizes, of course, this is not an entry threshold, but more for the purpose of protecting user assets.
Bit.com GoRich Business Head Raymond: GoRich has always been committed to compliance work globally, meeting local requirements, and most new and old users can trade Apple, NVIDIA and other US stocks with just 1 dollar.
Conclusion: Moving Forward in Exploration, Securities Tokenization is Inevitable
Based on the guests' speeches, although risks such as unclear regulations, price de-anchoring, and imperfect market-making mechanisms still exist, securities tokenization has become a major trend in asset issuance transformation. In the future, on-chain IPOs and unicorn company equity tokenization will become possible. The feast belonging to the crypto industry remains promising.
