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Gemini Launches Third Wave of Tokenized Stocks for EU Traders

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Highlights:

  • Gemini has expanded its EU tokenized stock offerings to 37 with the addition of 14 new U.S. equities.
  • Investors in the EU can now trade tokenized stocks 24/7 using Arbitrum with a 1.49% trading fee.
  • Platforms like Robinhood and Bybit are also pushing tokenized stocks as competition in Europe increases.

Gemini has added 14 new tokenized U.S. stocks for investors in the European Union. The announcement came on July 14 during its “List-a-Thon” livestream event. Gemini has now listed 37 tokenized equities on its platform in just three waves. The latest batch features consumer brands, tech firms, and travel companies. Although most names were shared during the livestream, Ford Motor Company appeared only in the blog post.

The launch marks the largest wave of additions since the rollout began on June 27. The initial launch featured MicroStrategy shares as the first offering. Then on July 3, Gemini listed 21 more equities, including Apple, Tesla, Amazon, Microsoft, and Coinbase. The current update brings popular names like McDonald’s, Nike, Starbucks, Coca-Cola, and Yum! Brands to the list. Gemini has continued to expand rapidly in an effort to attract retail investors in the EU.

The tokenized stocks offer exposure to widely recognized U.S. companies. This latest batch includes four SaaS companies—Cisco, Adobe, Snowflake, and Hut 8. In the consumer sector, Gemini added McDonald’s, Coca-Cola, Starbucks, Nike, Ford, and Yum! Brands. For the travel category, the platform listed Delta Air Lines, Booking Holdings, Uber, Carnival Corporation, and Rocket Lab.

European Investors Gain Broader Market Exposure Through Arbitrum and dShares

Gemini has collaborated with Dinari in the offer and sale of these tokenized stocks. Dinari offers digital securities that allow investors to essentially own a share of the underlying U.S. equity. Each token is backed 1:1 with the actual underlying stock. Dinari also serves as the official transfer agent for these tokenized shares. All tokens are minted on Arbitrum, which provides low transaction costs and quick execution.

Gemini offers 24/7 access to these tokenized stocks. The platform provides the users with an opportunity to buy and sell at times when the markets are not functioning, thus eliminating the time barrier. Every trade is subject to a fee of 1.49%. The service is also available to investors with lower budgets since they can purchase fractional shares. This framework provides U.S. stock exposure to a wider pool in the EU.

The platform is run by Gemini Intergalactic EU Artemis, a regulated entity by the Malta Financial Services Authority. In addition, the platform complies with the MiFID framework. Gemini offers tokenized trading of U.S. equities in a form that does not contradict financial policies in the EU via this setup.

Competition Rises as Tokenized Stock Products Attract Scrutiny

Other exchanges are also entering the tokenized stock market. Robinhood has issued 215 tokenized stocks on the Arbitrum blockchain for EU users. These include stocks of companies like OpenAI and SpaceX. OpenAI has denied any connection to the tokens and said its equity was not approved for use. Kraken and Bybit have also rolled out similar offerings. Kraken allows users to trade tokenized stocks via interfaces that resemble crypto trading. Bybit offers entry via its conventional platform and its decentralized platform known as Byreal.

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