Major U.S. and Dubai-based Crypto Exchanges in Talks to Tokenize U.S. Stocks

Gate News message, April 21 — A major U.S. crypto exchange is in talks with a Dubai-based crypto trading platform to explore tokenizing U.S. public and pre-IPO stocks, potentially offering these assets to users outside the country. The discussions are ongoing as part of efforts to expand access to American equities globally.

The Dubai-based platform also plans a separate U.S. joint venture with a local partner to secure licensing and ensure regulatory compliance.

Tokenized stocks remain a nascent market, valued at less than $1 billion in early 2026, significantly smaller than tokenized U.S. Treasuries and private credit, which total approximately $28 billion. Regulatory pressure has intensified, with the World Federation of Exchanges—representing major global stock exchanges—urging U.S. and EU regulators to restrict tokenized stock products, citing investor confusion and inadequate safeguards. The Dubai-based platform has emphasized a compliance-first approach, becoming the first crypto exchange to receive a full Virtual Asset Platform Operator License from the United Arab Emirates’ federal Securities and Commodities Authority.