Tokenized stocks are blockchain-based tokens that represent shares of publicly traded US equities, such as Nvidia, Apple, or the S&P 500. You can buy, sell, and hold them in Phantom just like other tokens, using crypto.
They track the price of the underlying equity using decentralized oracles and live market data feeds.
In Phantom, tokenized stocks may follow different naming conventions depending on the issuer. For example:
- ACMEx is an xStock issued by Backed, with the
xsuffix in the ticker. - ACMEon is a tokenized stock issued by Ondo, with the
onsuffix in the ticker.
Backed xStocks live on Solana, while Ondo tokenized stocks live on Ethereum.
Some tokenized stocks may offer dividends, but these are generally reinvested into the token rather than paid out in cash. The exact approach depends on the issuer, so always review their documentation for specifics.
Tokenized stocks aren't available to trade in the US, UK, France, Netherlands, and Germany.
Requirements
Every swap requires a small fee paid in the network's native token (SOL on Solana, ETH on Ethereum, and so on). Keep a small balance to ensure your transactions go through. See About network fees (gas).
Trade tokenized stocks
You can browse and purchase tokenized stocks directly from the Explore tab. You can also swap into them or search for them like any other token, but this guide focuses on the Explore flow.
Browser extension
- Click Explore.
- Go to Lists → Tokenized Stocks. This list currently shows tokenized stocks issued by Backed.
- Click a token to view its token page.
- Click Swap.
- In the You Pay field, select the token you want to spend, such as SOL, ETH, or another supported token.
- Review swap details.
- Click Swap Now.
Mobile app
- Tap Explore.
- Go to Lists → Tokenized Stocks. This list currently shows tokenized stocks issued by Backed.
- Tap a token to view its token page.
- Tap Buy.
- Enter the amount in your fiat currency or in the token you want to pay with, such as USDC, or SOL.
- Tap Buy now.
FAQ
Are tokenized stocks available to trade everywhere?
No. Tokenized stocks aren't available to trade for customers in the US, UK, France, Netherlands, and Germany.
Why does the price of a tokenized stock sometimes differs from the price of the real stock?
Tokenized stocks are designed to give you economic exposure to the performance of real equities, but their prices may not always match the stock price you see on traditional markets.
One reason is how dividends are handled. Instead of paying dividends in cash, issuers reinvest them back into the token. Depending on the issuer, this can work in different ways:
- Backed xStocks increase your token balance when dividends are paid.
- Ondo tokenized stocks adjusts the token’s value to reflect reinvested dividends, so over time one token may represent more than one share.
This is why the token price may not always equal the stock price you see on traditional exchanges.
Are all tokenized stocks the same?
No. Tokenized stocks in Phantom are issued by different providers:
- xStocks (like TSLAx) are issued by Backed and are available on Solana.
- Ondo tokenized stocks (like TSLAon) are issued by Ondo and are live on Ethereum.
Issuers decide how dividends are handled, how tokens are backed, and whether the tokens track just the price or total return. Always check the issuer’s documentation to understand the terms before trading.
For more details, see xstocks.com and ondo.finance.
What equities are available as tokenized stocks?
Tokenized stocks cover a range of major US stocks and ETFs. The exact list depends on the issuer, and availability may vary based on your region and local regulations.
Who holds my tokenized stocks?
You hold tokenized stocks in your Phantom wallet with self-custody. The underlying equities are held by the issuer’s licensed custodian. Holding the token doesn’t give you ownership of the actual stock or equity.
Can I trade tokenized stocks 24/7?
Tokenized stocks can generally be traded at any time, but availability depends on the issuer:
- Backed xStocks trade 24/7.
- Ondo tokenized stocks follow US market hours (24/5), with pre-market, core, post-market, and overnight sessions. There may be short pauses between sessions or during events like corporate actions or holidays. Overnight liquidity may be lower. You can check current trading availability at status.ondo.finance.
Can I transfer tokenized stocks?
Yes. You can transfer tokenized stocks to other wallets.
How are tokenized stocks different from traditional equities?
Tokenized stocks aren’t the same as holding shares through a traditional broker. Key differences include:
- You don’t receive voting rights or other governance powers.
- You hold tokenized stocks in your crypto wallet.
- You can buy tokenized stocks using crypto, with no broker or bank account needed.
- You can purchase small amounts, rather than full shares.
Specific features may vary depending on the issuer. You should review the terms of each tokenized stock before purchasing.
Do I receive dividends from tokenized stocks?
Some tokenized stocks may reflect dividend payouts from the underlying equity. In most cases, dividends are reinvested into the token rather than paid out in cash. Depending on the issuer, this can mean your token balance increases (Backed) or the token’s value adjusts as a total return tracker (Ondo). Not all tokenized stocks handle dividends the same way, so check the issuer’s terms before purchasing.
For example, ACME share price is $100. Both ACMEx (Backed) and ACMEon (Ondo) are worth $100. Then ACME declares a $10 dividend:
- ACMEx: Instead of cash, you receive more tokens. For example, your balance grows from 1.00 to 1.10 ACMEx (after fees/taxes), while each token still tracks $100.
- ACMEon: Your balance stays at 1.00, but each token now represents 1.10 shares. If ACME trades at $100, your ACMEon token is now worth $110.
How are tokenized stocks backed?
Tokenized stocks are backed 1:1 by the real-world stock or ETF they represent.
For example, a token like NVDAx or NVDAon corresponds to exposure to NVIDIA Corporation (NVDA). Depending on the issuer, the underlying stock is held by a licensed custodian, and the token is designed to track the asset’s market price.
How do tokenized stocks track the price of the real stock?
Tokenized stocks use decentralized oracles and market data feeds to track the real-world price. Issuers are responsible for maintaining this link, and prices may not always be exact.
Where can I learn more?
You can learn more about tokenized stocks by visiting their issuers’ websites:
- Backed: xstocks.com
- Ondo: ondo.finance
Risks
Trading sokenized stocks involves risk. Please review the following before trading:
- Volatility: Tokenized stocks track the underlying equity, which may be volatile.
- No voting rights: Tokenized stocks holders don’t have shareholder privileges.
- Dividend eligibility: Dividend behavior varies by issuer.
- Regional restrictions: Some regions may be blocked from purchasing or receiving.
- Issuer custody: You hold the token. The issuer holds the stock.
- Investor protections: Investor protections may not apply like in traditional brokerages.
- Delegation mechanics: Some tokenized stocks may include smart contract-level delegate permissions that enable actions like transfers or burns. These are controlled by the issuer and reflected transparently onchain.
Important: Tokenized stocks aren’t brokerage accounts. Do your own research and trade only what you’re comfortable risking.
Additional terms
Tokenized stocks aren't actual stocks. They are blockchain-based instruments issued by third parties that provide exposure to the performance of the underlying equities. While they track price movements and mechanics of the underlying securities, they don't confer ownership rights or shareholder benefits. They are available in select jurisdictions only.
To enable a user to gain exposure to US equities, Phantom has partnerships with third-party issuers of tokenized stocks. Phantom supports access to tokenized stocks through third-party issuers. Phantom only provides the platform for you to view, buy, and sell these tokens. Each tokenized stock is governed solely by the terms set by its issuer. Phantom has no control over those terms and doesn’t guarantee any rights, returns, or liquidity.
Trading tokenized stocks involves risk, including the potential loss of principal, and may not be suitable for all users. The value of tokenized stocks may fluctuate significantly, may not reflect the per share price of the underlying equity, and past performance isn't indicative of future results.