Gemini Launches Tokenized Stocks Trading: A New Era for Crypto Investors
Gemini Launches Tokenized Stocks in the EU
Introduction of Tokenized Stocks
Gemini, the cryptocurrency exchange established by the Winklevoss twins, Cameron and Tyler, has officially started offering tokenized stocks to its customers in the European Union (EU). This announcement was made on Friday, marking a significant expansion in their service offerings.
Initial Offerings and Future Plans
The initial launch features tokenized shares of MicroStrategy (MSTR), recognized as the largest corporate holder of Bitcoin globally. Gemini has indicated that additional stocks and exchange-traded funds (ETFs) will be introduced shortly, enhancing the variety available to users.
Partnership with Dinari
To facilitate this new service, Gemini has teamed up with Dinari, a company specializing in the tokenization of real-world assets. Recently, Dinari received broker-dealer registration from the Financial Industry Regulatory Authority (FINRA), enabling it to provide tokenized versions of U.S. stocks.
Growing Demand for Tokenization
This initiative aligns with the increasing interest in integrating traditional financial instruments, such as equities, into blockchain technology—a process known as tokenization. Other crypto exchanges, including Coinbase and Kraken, are also exploring opportunities in the tokenized securities market. Additionally, Robinhood is reportedly developing plans to offer tokenized U.S. stocks for users in the EU.
Regulatory Developments
In a related development, Gemini secured a MiFID II license from Malta last month, which permits the exchange to offer derivative products throughout the European Economic Area. This regulatory approval further strengthens Gemini’s position in the European market and supports its expansion into new financial products.
