Kraken Opens 7,000 US Stocks to European Investors

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Key Takeaways

Kraken Expands Stock Trading Across the EEA

Eligible customers across the European Economic Area gained access to more than 7,000 U.S.-listed stocks on Aug. 18, when Kraken announced the service under its Markets in Financial Instruments Directive authorization. The EEA equities launch also places more than 700 xStocks, tokenized U.S. equities fully collateralized and backed 1:1 by underlying shares, and over 600 crypto assets within the platform.

Trading is available through Kraken Pro on desktop and mobile devices, as well as the standard Kraken mobile application. Eligible customers pay no trading commissions, although other charges may apply, and geographic, account and product restrictions remain relevant.

Mark Greenberg, chief commercial officer of Payward and head of Payward Services, said:

“This launch eliminates the artificial divide between traditional and tokenized formats of the same asset.”

“With US-listed stocks and xStocks available side-by-side in a single regulated account, customers can choose how they access the same underlying exposure (whether through traditional shares or tokenized representation) without moving capital or changing platforms,” he noted.

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MiFID Authorization Covers the Equities Service

Kraken offers stock trading through Payward Europe Digital Solutions (CY) Limited, a Cyprus investment firm regulated by the Cyprus Securities and Exchange Commission under MiFID license No. 342/17.

The regulatory structure separates securities services from Kraken’s crypto operations under the Markets in Crypto-Assets Regulation. The European Securities and Markets Authority (ESMA) said unauthorized crypto asset service providers were required to begin orderly wind-downs after the MiCA transitional period ended July 1, underscoring the importance of identifying the entity responsible for each product.

Traditional Shares and xStocks Offer Different Structures

Traditional shares operate through regulated brokerage infrastructure and generally follow established market hours, settlement processes and shareholder protections. By comparison, xStocks are blockchain tokens backed 1:1 by underlying equities, allowing transfers to supported self-custody wallets and trading during periods when public stock markets are closed.

Kraken has extended the xStocks framework beyond established public companies, including plans to distribute tokenized allocations connected with new listings. Its U.S.-listed IPO access model lets eligible customers submit nonbinding indications of interest, with allocated shares tokenized after an offering begins trading.

Platform competition is intensifying as crypto companies combine digital assets with conventional financial products. Binance offers access to more than 7,000 U.S. stocks and exchange-traded funds for eligible non-U.S. customers, alongside plans for tokenized equities called bStocks.

Coinbase and US Regulators Pursue Tokenized Markets

Crypto exchange Coinbase (Nasdaq: COIN) has also announced tokenized U.S. stocks backed 1:1 by underlying shares for eligible customers outside the United States. The planned products include automatic dividends, onchain settlement and redemption features, although availability, supported securities and investor rights depend on final product terms.

Coinbase previously opened conventional U.S. stock and ETF trading to eligible American customers, offering more than 8,000 securities through a separate brokerage structure. That rollout provides 24/5 trading, fractional purchases and stock management alongside cryptocurrency holdings.

Regulatory attention has grown alongside the tokenized stock market, whose distributed value reached approximately $1.4 billion in May. The Securities and Exchange Commission (SEC) was considering a potential framework for blockchain-based stock trading, while market participants continued examining custody, shareholder rights, liquidity and settlement requirements.



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