Grayscale said in a July 9 research note that stock tokenization is likely to develop in three stages, with Ethereum, Solana, BNB Chain, Avalanche and Canton Network positioned to benefit as ownership structures change. The report said third-party wrapped tokens now account for more than 70% of tokenized stock market capitalization. Under that setup, traditional shares are placed into a special purpose vehicle, while investors hold tokens representing a claim on that vehicle rather than direct ownership of the stock itself.
Grayscale said those wrapped assets currently operate on Ethereum, Solana and BNB Chain, where they can be traded and used in decentralized finance applications. It identified the Depository Trust & Clearing Corporation, or DTCC, pilot as the second stage of development and said Canton Network will be the first blockchain used in DTCC’s tokenization pilot. The third stage, according to the report, would be issuer-sponsored tokenization, where companies issue securities natively on-chain. Grayscale added that Securitize became the first listed company to tokenize its own common stock when it listed on the New York Stock Exchange, and it expects wrapped tokens, the DTCC equity model and issuer-sponsored issuance to coexist over the next several years.
Grayscale said in research published on July 9 that stock tokenization is likely to unfold in three stages, with Ethereum, Solana, BNB Chain, Avalanche and Canton Network standing out as networks that could benefit as ownership models change.
Wrapped tokens still dominate the market
According to Grayscale, third-party wrapped tokens account for more than 70% of tokenized stock market capitalization. In that structure, traditional shares are placed in a special purpose vehicle, and investors receive tokens representing a claim on that vehicle instead of direct ownership of the stock.
Grayscale said those wrapped assets operate on Ethereum, Solana and BNB Chain. They can be traded and integrated into decentralized finance applications.
DTCC pilot marks the second stage
Grayscale described the Depository Trust & Clearing Corporation’s planned pilot as the second phase in the development of tokenized stocks. It said Canton Network will be the first blockchain used in DTCC’s tokenization pilot.
Third phase centers on issuer-sponsored issuance
The third stage would be issuer-sponsored tokenization, where companies issue securities natively on-chain, Grayscale said. The firm added that Securitize became the first listed company to tokenize its own common stock when it listed on the New York Stock Exchange.
Grayscale expects wrapped tokens, the DTCC equity model and issuer-sponsored issuance to coexist over the next several years, according to Bitcoin.com News.
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