Payward Takes 200+ European Stocks Onchain

Payward, the financial infrastructure company behind cryptocurrency exchange Kraken, has expanded its xStocks tokenization framework with more than 200 equities representing companies listed in the United Kingdom and European Union.

Announced on November 11, the rollout includes major European companies such as Siemens, Shell and LVMH. It also covers constituents of the UK's FTSE 100 and Germany's DAX 40, marking xStocks' largest expansion beyond US-listed securities to date.

The new tokens are available through Kraken and supporting xStocks Alliance platforms, with blockchain support spanning Solana, Ethereum, TON, Ink and X Layer. The launch takes the platform's total offering beyond 1,500 tokenized assets.

Each xStock is backed on a one-to-one basis by its corresponding underlying share, which is purchased when the token is issued and held with a regulated custodian for as long as the token remains in circulation.

GTN Partnership Supports International Expansion

The UK and EU listings are the first assets deployed under Payward Services' tokenization partnership with financial technology provider GTN.

Announced in July, the partnership was designed to extend xStocks beyond US equities by using GTN's international brokerage infrastructure and custody capabilities. GTN handles the execution and custody of the traditional securities backing the tokens, allowing Payward to introduce hundreds of new assets within weeks.

The structure also connects demand for tokenized equities with the underlying securities markets. Each newly issued token corresponds to a purchase of the referenced share, which remains held in custody rather than being issued directly on a blockchain by the listed company.

Payward said xStocks now has more than $1.1 billion in assets under management, cumulative transaction volume exceeding $45 billion and over 550,000 unique holders worldwide. These figures relate to the platform's overall offering, rather than only the newly added European equities.

The expansion also builds on the company's September partnership with the London Stock Exchange to bring the exchange's 100 largest listed companies into the xStocks framework. The agreement includes plans to explore trading through the proposed LSE 24 platform in 2027, subject to regulatory approval.

Tokenized Exposure Does Not Automatically Mean Share Ownership

Although each xStock is backed by an underlying share, holding the token is not necessarily equivalent to owning that share directly through a conventional brokerage account.

The tokens are issued by Backed Assets (JE) Limited, a Jersey-based company, and represent traditional securities through a tokenized structure. Their legal terms and the rights available to holders are governed by the relevant issuance documentation.

Investors should therefore distinguish between obtaining exposure to a company's share price and holding the conventional shareholder rights associated with directly registered or broker-held shares. Token holders should not assume that the products automatically confer voting rights or other rights available to direct shareholders.

Geographic eligibility also remains restricted. Despite the addition of UK-listed companies, xStocks are not available to investors based in the United Kingdom. The products are also unavailable in the United States and to US persons. Payward said the latest expansion does not change the platform's existing distribution and eligibility rules.

These distinctions reflect wider questions surrounding the legal treatment of tokenized securities, including ownership, custody, settlement and investor protection. Unlock Blockchain has previously examined the regulatory questions facing tokenized stock infrastructure.

Hong Kong Listings Expected to Follow

Payward said hundreds of Hong Kong-listed equities are expected to be added in the coming weeks, with further international markets planned afterward.

The move forms part of a broader expansion strategy aimed at bringing securities from established equity markets onto blockchain networks. By combining traditional brokerage and custody infrastructure with tokenized distribution, Payward is seeking to connect conventional securities markets with centralized exchanges, self-custody wallets and decentralized finance applications.

The expansion comes as tokenized equities attract growing interest from both crypto platforms and traditional financial institutions. The market remains relatively small compared with conventional stock markets, but activity has increased as more platforms introduce products linked to publicly listed companies. Unlock Blockchain's earlier coverage tracked a sharp rise in tokenized stock trading volumes.

For Payward, the European rollout extends xStocks into two major equity markets while laying the groundwork for additional international listings. Its next challenge will be to expand distribution across jurisdictions without overlooking the different regulatory requirements governing securities, custody and investor access.