Binance has turned five US stocks into tradeable blockchain tokens, moving its tokenized-equity project from promise to product. The new bStocks allow users to buy and sell fractional shares around the clock, bypassing traditional exchange hours.
Five stocks go on-chain
The initial lineup includes Apple, MicroStrategy, Coinbase, Tesla, and Nvidia—companies that already command heavy crypto crossover interest. Each bStock token is backed one-to-one by shares held in a regulated custody account, Binance says. Trading runs continuously on the exchange's platform, with settlements processed on-chain.
What bStocks mean for traders
For retail users, the appeal is simple: no waiting for the opening bell. A trader in Tokyo can react to a late-breaking Tesla headline at 3 a.m. in New York without the gap risk that comes with standard market closures. Binance executes the underlying buy or sell in traditional markets behind the scenes, then mints or burns the corresponding tokens. Fees are set at 0.2% per trade, matching the spot trading tier on the exchange.
Regulatory questions remain open
The move comes amid a global patchwork of rules around tokenized securities. Binance notes the custody arrangement is handled by a licensed third party, but regulators in several jurisdictions have yet to clarify whether on-chain stock tokens fall under existing securities laws. The company has not disclosed which regulator, if any, approved the product for its international users. European customers, for instance, face different restrictions than those in Asia or Latin America.
How the tokens are created
When a user buys bStocks, Binance places an equivalent buy order in the traditional market through its broker partner. The shares are then held in an omnibus account, and a matching number of B-issued tokens are minted on the chosen blockchain. Redemptions work in reverse: selling bStocks triggers a market sell, and the tokens are burned. This mechanism is meant to keep the token price pegged to the real stock price minus a small spread.
Binance hasn't announced a timeline for adding more equities, but the five-stock launch suggests a test phase rather than a full rollout. The next step could be either expanding the list or taking the product to jurisdictions that require a more formal registration process.
