Key Takeaways:
Binance on Monday launched stock and exchange-traded fund trading for customers outside the US, giving eligible users access to more than 7,000 US-listed equities and ETFs through its platform as it pushes to become a multi-asset financial super app.
"We have set out to reach the next 3 billion users, and to make it simpler for users to access opportunities across asset classes, diversify their portfolios, and move more easily between traditional investing and on-chain finance," Yi He, co-founder and co-CEO at Binance, said. "That is what a multi-asset financial super app should help people do."
Customers can buy fractional shares starting at $5 with zero commission, using stablecoins USDC or USDT, along with BNB, USD1 and $U. The service is powered by Nest Trading, Binance's ADGM-regulated broker-dealer, with custody handled by New York-based Alpaca. Trading is available 24 hours a day, five days a week, with users retaining direct ownership of securities and eligibility for dividends and corporate actions.
The move places Binance alongside a growing number of crypto platforms converging with traditional finance. Rival OKX has moved into tokenized stocks, while Coinbase added stock trading in its everything exchange bid. Wall Street is also meeting crypto halfway — asset manager BlackRock has issued Treasury bills as blockchain wrappers. The launch is not Binance's first step beyond crypto: the exchange already offers derivatives tied to gold, petrochemicals and pre-IPO share trading, though it halted stock tokens in 2021 after regulators questioned whether the products were unregistered securities.
Alongside the stock trading rollout, Binance unveiled plans to introduce bStocks, tokenized securities linked to selected US stocks and ETFs. Issued by BTECH Holdings Ltd in ADGM and pending regulatory approval, the products are expected to trade on Binance Exchange and let users convert shares into digital tokens on BNB Chain. Unlike rival offerings, users can initiate the tokenization themselves. "Tokenization has the potential to reshape financial markets by giving users greater control, more flexibility, and ultimately more financial freedom," Richard Teng, co-CEO at Binance, said.
The expansion into equities marks a strategic bet that Binance can capture demand from overseas investors who face high costs and friction accessing US markets. US stocks make up well over half of global equities, Teng told Fortune. The exchange will also offer Fully Paid Securities Lending to eligible participants, adding another revenue stream beyond crypto trading fees.
This article is for informational purposes only and does not constitute investment advice.
