Altcoins Talks - Cryptocurrency Forum
Cryptocurrency Ecosystem => Binance Smart Chain + Ecosystem => Binance Coin (BNB) => Topic started by: Sharpmax on April 12, 2021, 04:06:16 PM
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Crypto exchange Binance has ventured into the space of tokenized stock trading, starting with Tesla.
That means users can now buy fractions of the Tesla stock token on Binance. Crypto exchange Binance has ventured into the space of tokenized stock trading, following the likes of FTX and Bittrex Global.
To begin with, Binance has listed Tesla stock tokens, meaning the exchange's users can now buy Tesla tokens representing its shares.
One Tesla stock token represents one share of the company. Users, however, can buy fractions of the token, with the minimum trade size being one-hundredth of the token.
The fractionalization of stock tokens makes them more affordable. One Tesla stock, for instance, is currently priced at around $700, which is quite expensive.
"Stock tokens demonstrate how we can democratize value transfer more seamlessly, reduce friction and costs to accessibility, without compromising on compliance or security," said Binance CEO Changpeng Zhao.
Zhao first hinted at the launch of tokenized stock trading service earlier this year. He told The Block at the time: "We're definitely looking at it."
"We do try to copy innovation when innovation is good," Zhao said at the time, referring to FTX's similar service.
Like FTX and Bittrex Global, Binance has also partnered with German financial firm CM Equity AG and Switzerland-based tokenization firm Digital Assets AG for the service. Source (https://cryptonews.net/533828/?utm_source=CryptoNews&utm_medium=app&utm_campaign=shared)