Nasdaq will provide price feeds on DeFiChain for tokenized stock trades

Along with Tiingo and Finnhub, Nasdaq will provide price feeds for DeFiChain. This DeFi platform is built on the Bitcoin network.
Although tokenized stocks have been in trouble from a regulatory standpoint for the past few months, that hasn’t stopped legacy financial institutions and Decentralized Finance (DeFi) advocates from signing new deals. Bloomberg today reported that Tiingo, Finnhub, and Nasdaq will provide their price feeds for DeFiChain, a DeFi platform built upon the Bitcoin (BTC). DeFiChain allows trading in tokenized stock that corresponds to the underlying price at major listed companies like Amazon, Tesla, and Apple. Similar to the Binance offering, tokenized stocks can be bought in fractions. Investors do not need to purchase a full-sized share. Custody of a physical certificate is required. Tokenized stocks can be purchased as decentralized loans or collateralized with cryptocurrencies. The purchase of tokenized stocks is open to trading 24/7. However, it does not give the holder ownership of the asset. Instead, they can potentially make a profit from the asset’s price movements. Julian Hosp, the platform’s cofounder, stated that the offering would open the door for many people who are frustrated with traditional markets.” However, advocates like Hosp will need to contend the increased attention regulators are giving to DeFi. The United States Securities and Exchange Commission revealed last week that it was investigating Uniswap, the largest decentralized cryptocurrency exchange (DEX) in the world. Due to growing regulatory pressure, the platform had already delisted dozens of tokens and tokenized stock offerings on Solana in July. Related: Solana launches tokenized stock offerings by Swiss-based Digital Assets AG. In July, Binance’s popular stock tokens, which were fractions of equity shares at companies like Tesla and Coinbase, was suddenly stopped. This was in response to pressure from Hong Kong’s securities regulator, and earlier reports that British and European regulators had been closely scrutinizing the offering for potential violations of securities laws.

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