A groundbreaking change is coming to the European financial markets: eToro has introduced 24/7 trading on American stocks, thanks to tokenization on the Ethereum blockchain. Investors and savers can now trade the stocks of Wall Street giants without time restrictions, renewing the traditional concept of the stock exchange.
Tokenized stocks: what they are and why they bring a wave of change
Tokenized azioni are digital copies, certified and tradable on blockchain, of real azioni listed on major exchanges. Each ERC20 token faithfully represents the value of the respective US stock, ensuring transparency, security, and speed in operations. This innovation facilitates access to global markets.
How trading of tokenized American stocks works on eToro
It is now possible to buy, sell, and transfer tokenized US stocks and ETFs on blockchain Ethereum, 24 hours a day, five days a week, directly from the eToro digital wallet. The operation is based on ERC20 technology: each token represents a single stock in a scalable and traceable way. Currently, about 100 stocks and ETFs are available, with a catalog set to expand. It is also possible to invest in fractions of stocks, making trading more accessible.
eToro: the advantages that no traditional broker can offer
- Total accessibility: trading 24/5, without time zone constraints or stock exchange closures.
- Dynamic liquidity: immediate exchanges within the eToro community and between digital wallets, without additional intermediaries.
- Micro-investments: thanks to tokens, it is possible to invest even in fractions of a share, significantly lowering the entry threshold for new users.
- Maximum security: the blockchain ensures the traceability of every transaction, protecting investments and digital property.
Continuous Trading: How the Investor’s Experience Changes
For the first time, the fluctuations of international markets become immediately accessible even to European private investors, who can modify their strategies instantly. The ability to react in real-time to breaking news, sudden quarterly reports, and geopolitical crises makes the digital portfolio a living, updated, and responsive investment tool.
According to the World Wealth Report 2023 by Capgemini, more than 31% of digital investors prefer to operate in markets open 24/7, demonstrating a growing demand for operational flexibility.
Why Ethereum and the ERC20 Standard Are the Backbone of Innovation
The ERC20 tokens on Ethereum offer high compatibility, scalability, and interoperability between platforms. This standard is now a benchmark for the tokenization of financial assets, reducing risks of errors and fraud compared to traditional systems. To date, over 300 billion dollars in digital assets are tokenized on Ethereum and related layer-2.
European Overview: the other platforms embracing tokenization
In addition to eToro, other European operators like DeGiro and the former European division of FTX are developing multi-asset solutions on blockchain for US stock trading. However, as reported by industry experts on Financial Times, no competitor currently matches the combination of volume and simplicity of eToro.
Increasingly Digital Finance: The Future of Investments Passes Through Tokens
The debut of tokenized stocks on a large scale represents the definitive overcoming of the boundaries between traditional exchanges and the digital world. The promise is not only liquidity and security, but a dynamic and modern management of assets open to everyone. If digital wallets become the reference tool for the new generation of investors, it remains to be seen how traditional banks and brokers will adapt or be surpassed by the new decentralized approach.
The next step? Monitoring ongoing data, reports, and regulations that could accelerate or slow down this global financial evolution.