EToro to Launch Tokenized US Stocks in Europe

eToro has announced the launch of tokenized versions of U.S.-listed stocks and ETFs as ERC-20 tokens on the Ethereum blockchain, with 24/7 trading and DeFi integration. The initial rollout will feature 100 popular U.S. stocks and ETFs, accessible first to European users before expanding globally. Tokenized stocks will be redeemable for traditional shares and transferable between eToro digital wallets, though users are cautioned about potential low liquidity and high volatility outside regular trading hours. This initiative is enabled by new regulations such as Europe's MiCA and the U.S. Genius Act, which support regulated digital assets. eToro is also considering developing its own blockchain or sidechain to manage higher transaction volumes. Analysts project the market capitalization of tokenized real-world assets could exceed $50 billion by the end of 2025.