Galaxy launches tokenization of stocks innovation: Real-time updates of shareholder lists require KYC verification.

Galaxy Digital (stock code GLXY) announced on September 3 that it is launching a tokenization service for stocks. Starting today, shareholders can tokenize their GLXY stocks through Superstate's Opening Bell platform. This innovation not only represents a breakthrough application of blockchain technology in the TradFi sector but also brings new efficiency to stock trading.

Technical Implementation and Features of Tokenized Stocks

Galaxy emphasizes that these tokenized stocks are not derivatives or representations, but real Galaxy Digital Class A common shares, with holders enjoying full shareholder rights. This service is designed for investors who have completed KYC (Know Your Customer) verification, ensuring compliance with regulatory requirements through strict identity verification.

Investors can hold and transfer these tokenized stocks in their personal crypto wallets, and when on-chain transfers occur between verified participants, ownership records will be updated in real-time by Superstate. As the official transfer agent, Superstate ensures that the registered shareholder list of Galaxy can be updated in real-time when tokens change hands, significantly enhancing the efficiency of traditional equity transfers.

In terms of technical implementation, the contract address for Galaxy stocks on the Solana blockchain is 2HehXG149TXuVptQhbiWAWDjbbuCsXSAtLTB5wc2aajK. Choosing Solana as the underlying infrastructure demonstrates Galaxy's preference for high-throughput, low-cost blockchain.

Regulatory Compliance and Future Development

As participants in the U.S. SEC "Project Crypto" innovation agenda, Galaxy and Superstate are actively exploring how to trade tokenized public stocks through automated market maker (AMM) mechanisms while complying with regulatory requirements. This attempt demonstrates the trend of convergence between TradFi and decentralized finance (DeFi).

After meeting relevant regulatory conditions, Galaxy's tokenized stock may be launched on AMM and other DeFi platforms in the future, providing investors with more diversified trading options. This development marks an important step in the practical application of blockchain technology in the securities market, bringing greater transparency and efficiency to the financial market.

For investors closely following blockchain innovative applications, tokenized stocks represent an important development direction for the digital transformation of traditional financial assets, with the potential to achieve a more convenient and efficient asset circulation mechanism under a compliant framework.

Disclaimer: For reference only. Past performance is not indicative of future results.