xStocks deepen partnership with Alpaca

xStocks are expanding their partnership with Alpaca, which will serve as the preferred venue and distributor for the tokenized equities via Alpaca’s Instant Tokenization Network.

Kraken said in a statement that Alpaca will become the preferred venue for sourcing and custodying the underlying equities that back xStocks on a 1:1 basis. The firm added that Alpaca will explore using its brokerage-as-a-service API to provide buy and sell functionality for fintechs, developers and institutions.

Since their launch in June, xStocks have surpassed $10 billion in combined transaction volume across centralized and on-chain environments, the company said. “xStocks is proving that tokenized equities aren’t a future concept. They’re a present reality scaling at record speed. Deepening our partnership with Alpaca allows us to accelerate that trajectory and deliver an institutional-grade foundation that sets the standard for how real-world assets move across traditional and onchain rails,” Mark Greenberg, Kraken Global Head of Consumer, said. “TradFi and digital assets are no longer two separate worlds. Tokenized equities reached billions in trading volume this year alone. Our expanded partnership with xStocks, now part of Kraken, brings together two category leaders to enable seamless minting, redemption, and liquidity across fiat and onchain rails for tokenized equities today and more asset classes tomorrow,” Yoshi Yokokawa, Co-Founder and CEO of Alpaca, said.

The company said xStocks will be a preferred tokenized equities offering available through Alpaca’s Instant Tokenization Network, which it said enhances real-time mint and redeem capabilities for institutional partners. Kraken noted Alpaca has supported xStocks’ early growth by serving as custodian for the underlying equities and called Alpaca a central partner in its tokenization roadmap and partner integrations.

Kraken said xStocks are currently available in certain non-U.S. countries and that it is working with Alpaca to expand that coverage based on regulatory approvals.

The Recap

• xStocks expand partnership; Alpaca becomes preferred venue and distributor.
• xStocks have surpassed $10 billion in transaction volume.
• Companies will expand non-U.S. availability pending regulatory approvals.