While the recent waves of tokenized stocks often target users offshore, a new platform called Solotex aims to bring equity tokens to US entrepreneurship in a following way.
Texture Capital, a US-based broker-dealer registered with SEC and Finra, said it received regulatory approval to launch Solotex, a retail trade area that allows investors to buy tokenized versions of US equality in stablecoins such as . The platform, developed in collaboration with the tokenization firm Sologenic, is expected to live by the end of 2025.
In an interview with CoinDesk, texture capital CEO Richard Johnson and Sologenic CEO Mike McCluskey aimed at the Solotex of Solotex from competitors by offering a true share of sharing with tokens. The platform releases only tokens when the underlying stock is purchased and holds real shares in regulated keeping under US legal frameworks, in contrast to offshore, synthetic structure or exposure by special purpose vehicles (SPV).
“We believe this is the first for the US market and it sets a stage for a new period of owner of ownership through tokenization,” Mccluskey said.
Stock Tokenization has spread
The tokenization of traditional possessions draws a growing interest from major financial and alike companies. Institutions such as JPMorgan and Franklin Templeton experiment with tokenizing assets such as wealth and money market funds. The process promises faster settlement, lower fees and greater access to the market and it can mushroom in a multitrillion-dollar market over the next decade, According to In Projects.
Tokenized stocks got steam earlier this year as a roster of trading platforms and crypto exchanges that launched tokenized equally including Gemini, Kraken, Bybit and Robinhood. But existing offerings remained more than unacceptable to US retail investors due to the complexity of the regulation. Meanwhile, synthetic stock tokens or exposure through special vehicle goals (SPV) that often do not provide actual sharing ownership. These products may lack regulation administration, introduce additional risks to counterparts and trade at prices that are drift from the real market due to limited liquidity.
These products may lack regulatory administration, introduce additional risks to counterparts and trade at prices that are drift from the real market due to limited liquidity, according to McCluskey and Johnson.
In Solotex, each trade mints a stock token demanding, representing one-to-a claim to the actual part performed in the precautionary platform clearing platform, they said. These tokens will give the whole shareholder the right, including dividends and votes, and can be viewed along with other crypto handling in a self-customied wallet.
“Offering actually tokenized US equality in the US market is always the Holy Grail,” Ashley Ebersole, a legal counselor for Solotex, said in a statement. “Solotex represents the leading edge of the change within the established regulation architecture, and we will continue to change towards fully tokenized capital markets that allow regulations.”
Read more: Tokenized stocks do not work (yet)
