Edel Finance & Coinbase Leading The Way With Equities Tokenization

The launch of Coinbase’s tokenized stocks trading feature has many crypto and stock traders asking a central question: how to invest in crypto stocks.

The advantages of trading blockchain-based assets over traditional stocks are clear, offering improved speed, enhanced security, lower fees, and the ability to earn yield on open positions.

Coinbase’s move has accelerated interest from both retail and experienced traders, as access to tokenized equities becomes simpler through a familiar, regulated platform with a large existing user base.

However, demand is extending beyond simple stock trading. Traders are increasingly looking for ways to lend and borrow against tokenized equities, unlocking liquidity and generating passive income, which are services that are being addressed by Edel Finance ($EDEL).

Together, Coinbase and Edel Finance are positioning themselves as early leaders in crypto stocks adoption. Coinbase provides the on-ramp for millions of users, while Edel enables traders to buy tokenized stocks and then earn yield through lending and borrowing, adding deeper financial utility to on-chain equities.

Crypto Stocks: A Multi-Trillion Dollar Market in the Making

The tokenized stocks industry is expected to grow by trillions of dollars in the coming years, with some estimates projecting a valuation of up to $30 trillion by the end of the decade. This growth is driven by blockchain technology’s potential to fundamentally reshape how stocks are traded, settled, and accessed across global markets.

“Blockchain allows equities to move with greater speed, transparency, and efficiency than traditional systems,” said Andrés Soltermann, CEO of Edel Finance. “It creates a more flexible trading environment that better serves traders.”

Recent product launches by Coinbase, combined with the success of the Edel testnet, which attracted more than 3,000 users just days after launch, demonstrate growing demand for crypto-based stock trading solutions.

Edel Finance: Buy, Lend, and Borrow Crypto Stocks

One of the major issues facing the traditional stock market is that investors are unable to earn returns on their holdings without selling. In reality, there is already a large market for lending and borrowing stocks, but the fees generated through this process are rarely distributed to investors and are instead retained by centralized intermediaries.

The Edel Finance team believes this model is outdated and unfair, and that it can be significantly improved by bringing equities on-chain. By leveraging blockchain infrastructure, Edel aims to make stock lending more transparent, efficient, and accessible, while enabling individual traders to directly benefit from the activity of their assets.

Edel Finance is often described as the Aave of crypto stocks. The platform provides a space where users can purchase tokenized stocks, earn yield through lending, borrow against their positions, and use equities as collateral, all within a single on-chain system.

The Edel testnet launched last week, offering an opportunity for early adopters to gain first-hand experience of how the protocol functions. The initial 1,500 places were filled within hours, followed by the 3,000-user cap being reached, and the limit has now been raised to 5,000.

At the center of this ecosystem is the project’s native $EDEL token, which powers much of the platform’s utility and offers exposure to its growth. Supporters often point to $AAVE as a comparable example, which became one of the leading DeFi tokens by market capitalization through its central role in lending infrastructure.

Projections for the growth of the tokenization market are extremely bullish.

Coinbase Launches Tokenized Stocks Trading

Coinbase has made it easier to understand how to invest in crypto stocks by launching its own tokenized stocks trading service. The announcement was made by the team last week, and the product went live shortly afterward, opening the door to crypto stocks for the exchange’s estimated 100 million users.

The Coinbase venture has placed crypto stocks firmly in the spotlight, marking a major milestone in the mainstream adoption of tokenized equities. By integrating tokenized stocks directly into its platform, Coinbase has lowered the barrier to entry for traders exploring this new asset class.

The scale of Coinbase’s user base is expected to have a significant impact on adoption and visibility. As one of the world’s leading crypto exchanges and the dominant centralized exchange in the U.S. market, Coinbase is well-positioned to accelerate the growth of tokenized stocks.

Final Thoughts

Edel Finance and Coinbase offer two of the simplest ways to invest in crypto stocks. The Coinbase tokenized stocks service has opened the door to increased mainstream adoption of these assets, while the Edel Finance testnet has demonstrated strong demand for lending and borrowing tokenized stocks.

FAQs

How to invest in crypto stocks using tokenized equities platforms?
Crypto stocks can be accessed through platforms offering tokenized equities. Centralized exchanges provide simple access, while on-chain platforms add functionality such as lending, borrowing, and collateralization, allowing traders to choose between ease of use and advanced financial tools.

What is the difference between trading tokenized stocks and traditional stocks?
Tokenized stocks are traded on blockchain infrastructure, enabling faster settlement, global accessibility, and programmability. Traditional stocks rely on legacy systems with slower settlement times and limited opportunities to earn yield without selling holdings.

Which platforms are best for beginners looking to invest in crypto stocks?
Centralized exchanges with tokenized stock offerings are often best for beginners due to familiar interfaces and custody solutions. More advanced users may explore on-chain platforms that offer additional features such as yield generation and collateralized borrowing.

Can investors earn passive income when they invest in crypto stocks?
Yes, Edel Finance allows tokenized stocks to be lent or used as collateral, enabling investors to earn yield while maintaining exposure. This adds an income-generating layer that is typically unavailable in traditional equity markets.

This publication is sponsored and written by a third party. Coindoo does not endorse or assume responsibility for the content, accuracy, quality, advertising, products, or any other materials on this page. Readers are encouraged to conduct their own research before engaging in any cryptocurrency-related actions. Coindoo will not be liable, directly or indirectly, for any damages or losses resulting from the use of or reliance on any content, goods, or services mentioned.

Related stories

Next article