Delphi Digital says tokenized stock race is shifting to distribution and trading costs

Delphi Digital said the competitive edge in tokenized stocks is moving away from the mechanics of putting equities onchain and toward distribution strength and execution quality. In a post on X, the crypto research firm said the issuance process has become relatively straightforward: most issuers buy the underlying shares through brokers and then mint tokens against them. That leaves investors choosing between products that offer nearly the same exposure. According to Delphi Digital, the next differentiator is reach. The firms that can place those tokens in front of the largest pool of investors stand to lead the market. That gives exchanges a clear advantage because they already control large trader bases and established distribution channels. The firm added that Binance's bStocks and Kraken's xStocks are two of the three leading platforms, and together with Ondo they account for most of the wrapped stock market share. Still, broad listings alone are not enough. Delphi Digital said wide distribution only matters if token trading remains cheap, because investors will choose the version that offers the best price. In its view, the eventual winners will be the issuers that combine the broadest reach with the deepest liquidity.