Coinbase CEO Brian Armstrong said tokenized stocks should represent real shares, giving investors ownership rights rather than simply tracking stock prices.
Armstrong outlined the approach on X as Coinbase expands blockchain-based access to US equities for customers outside the US. Under the model, underlying shares would be held in custody, while tokens could include redemption and dividend features.
Real shares behind tokens
Coinbase launched Base-native tokens linked to Apple, Nvidia, Meta and Alphabet in August. The products use the B20 token standard and trade under the tickers AAPLc, NVDAc, METAc and GOOGLc.
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The tokens do not give holders direct ownership of the underlying companies. Coinbase Onchain SPV issues the tokens, while Alpaca Securities holds the corresponding shares. Legal ownership therefore remains with the trust rather than token holders.
Redemption and voting limits
Vested token holders can request redemption for underlying stocks, dollars or USDC, subject to eligibility checks and a 0.05% fee. Voting rights are exercised indirectly through the structure.
Unvested holders can trade the tokens but cannot redeem them or exercise voting rights. Coinbase restricts the products to users outside the US under Regulation S.
Base recorded about $100 million in daily trading volume for tokenized stocks on Sept. 13, showing activity around blockchain-based versions of traditional equities.
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Source: https://coinedition.com/armstrong-pushes-real-share-model-as-coinbase-expands/
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