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Bitget and Block Scholes Report Claims Tokenized Stocks Could Lower Capital Requirements

(3 hours ago) · 1 source · Summarized by CryptoBipto

A joint report by crypto exchange Bitget and analytics firm Block Scholes found that tokenized stocks could reduce capital requirements by approximately $165,000 in a $1 million multi-asset portfolio. The report examines how bringing traditional equities onto blockchain infrastructure could improve capital efficiency for portfolio managers.

WHY IT MATTERS

When you invest in stocks through a traditional brokerage, there are various costs and capital requirements involved — think of it like needing to keep a certain amount of money set aside as a safety deposit. Tokenized stocks are essentially digital versions of regular stocks that live on a blockchain, the same type of technology that powers cryptocurrencies like Bitcoin. This report suggests that using these digital versions could free up some of that reserved capital, much like how sending an email is cheaper than mailing a physical letter because you cut out the middleman. For crypto newcomers, this is an example of how blockchain technology is being explored not just for new digital currencies, but as a way to potentially make the existing financial system more efficient. However, these are claims from a report by industry participants, and the real-world impact depends on many factors including regulation.

Bitget, a cryptocurrency exchange, and Block Scholes, a crypto analytics and research firm, have published a joint report analyzing the potential capital efficiency gains from using tokenized stocks — digital representations of traditional equities that exist on a blockchain.

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Tokenized SecuritiesReal-World AssetsCapital EfficiencyInstitutional Finance