Tokenized stock market cap hits $4 billion amid surge in on-chain trading

The tokenized stock market is undergoing a significant shift from a focus on asset issuance to a focus on distribution and on-chain utility. According to Binance Research, the active market capitalization for tokenized equities has surged 314% this year, reaching approximately $4 billion by early September.

Trading volume has grown even more rapidly, increasing from $237 million in January to $7.9 billion in August, representing a 33-fold increase. This growth is increasingly concentrated among a few major players; Binance’s bStocks and Robinhood’s on-chain products captured 87.8% of tracked issuer trading volume in September.

Beyond simple trading, the integration of these assets into decentralized finance (DeFi) is accelerating. The Total Value Locked (TVL) in DeFi protocols related to tokenized stocks rose from $21.6 million to $289 million. These assets are increasingly being used as collateral for loans and as liquidity in DeFi ecosystems.

On the Base network, Coinbase-issued tokenized stocks have seen significant activity, with $262.5 million in trading volume recorded over a 26-day period. While these assets offer benefits such as 24/7 trading and fractional ownership, analysts note that legal rights, such as voting power in shareholder meetings, may differ from traditional stock ownership depending on the specific product structure.