Access to the US markets is expanding for investors in the European Economic Area. On August 18, Kraken announced the opening of more than 7,000 US-listed stocks to its eligible clients. The
Access to the US markets is expanding for investors in the European Economic Area. On August 18, Kraken announced the opening of more than 7,000 US-listed stocks to its eligible clients. The offer also includes more than 700 stocks and more than 600 crypto-assets in a single regulated account. This development is part of its MiFID approval. It brings together traditional stocks, tokenized securities, and digital assets while maintaining their distinct regulatory frameworks for the concerned European investors.
Eligible clients from the EEA can now trade more than 7,000 US stocks via Kraken Pro, on desktop or mobile. Eligible clients pay no trading commission on these operations. However, other fees may apply and some restrictions remain related to country, account, or available products. Therefore, the offer targets European users meeting the specified conditions.
This new offer announced Tuesday also adds more than 700 xStocks, tokenized US stocks guaranteed 1 to 1 by the underlying securities. Investors can thus find similar exposures in two different forms. Traditional stocks operate with a regulated brokerage infrastructure. The xStocks are based on blockchain tokens backed by the corresponding shares.
Mark Greenberg, Chief Commercial Officer of Payward and Head of Payward Services, highlights that this launch allows investors to choose between traditional stocks and tokenized representations of the same asset without moving their capital or changing platforms:
This launch eliminates the artificial distinction between traditional and tokenized formats of the same asset, and thanks to the coexistence of US-listed stocks and xStocks within a single regulated account, clients can choose how they access the same underlying exposure (either through traditional stocks or a tokenized representation) without moving capital or changing platform.
Mark Greenberg, Chief Commercial Officer of Payward and Head of Payward Services.
Kraken offers these stock services through Payward Europe Digital Solutions (CY) Limited. This Cyprus-based investment firm holds a MiFID license no. 342/17. It falls under the Cyprus Securities and Exchange Commission, the CySEC. The arrangement thus distinguishes services related to securities from activities involving crypto-assets.
This regulatory separation also aligns with the MiCA regulation framework for digital asset-related services. Identifying the responsible entity remains important. The European Securities and Markets Authority (ESMA) reminded that unlicensed providers had to undertake an orderly wind-down after the MiCA transitional period ended on July 1st. The stock launch, for its part, relies on the MiFID framework applicable to the service.
For eligible users, Kraken groups several instruments in a single regulated environment. US stocks remain linked to classic brokerage mechanisms. They notably follow market hours, settlement processes, and shareholder protections. xStocks adopt a different structure, with tokens that can be transferred to certain self-custody wallets and traded when public markets are closed.
Start your crypto adventure safely with KrakenThis link uses an affiliate program.Kraken is also developing the xStocks model beyond already listed companies. The platform notably plans to distribute tokenized allocations related to new IPOs. Eligible clients can submit non-binding expressions of interest. Once the offer begins on the market, the assigned shares can then take a tokenized form.
This development comes as several platforms are bringing digital assets and traditional financial products closer. Binance offers access to more than 7,000 US stocks and ETFs to certain non-US clients. The company also plans tokenized stocks called bStocks. Coinbase has also announced tokenized US stocks, guaranteed 1 to 1 by the underlying securities, for clients eligible outside the United States.
Previously, Coinbase opened access for eligible US clients to traditional US stocks and ETFs. Its offer grouped more than 8,000 securities in a separate brokerage structure. It also allowed 24/5 trading and fractional purchases. Meanwhile, the tokenized stock market is attracting more regulatory attention.
The distributed value of the tokenized stock market was about $1.4 billion in May. The SEC was then studying a potential framework for trading shares on blockchain. Discussions focus notably on custody, shareholder rights, liquidity, and settlement. These elements accompany the development of new market infrastructures.
For eligible European investors, Kraken thus offers multiple access routes to US markets within a single environment. Access conditions remain linked to eligibility, account, location, and relevant products. Fees other than trading commissions may also apply. Crypto-assets remain regulated under their own framework. This organization distinguishes the instruments while grouping them in the same interface.
Access conditions remain linked to eligibility, account, location, and concerned products. Fees other than trading commissions may also apply. Investors should therefore consider these parameters before using the available instruments. The service does not remove differences between legal and financial structures of assets.
Kraken’s launch thus adds a new offer to the financial services accessible in the EEA. As platforms combine stocks, ETFs, xStocks, and crypto-assets, their models evolve alongside European and American rules. The development of tokenized securities also keeps attention on custody, liquidity, settlement, and investor rights. For EEA investors, the opening of more than 7,000 US stocks especially marks a new step in this convergence between traditional finance and blockchain. Ultimately, its development will depend mostly on the European framework and access conditions.
