Cryptocurrencies

Crypto exchange to enable trading of Nasdaq-listed companies

Estonia-based digital trading platform DX Exchange have announced that they will launch tokenised stock trading on the Ethereum blockchain next week.

DX Exchange are fully regulated within the EU and will use Nasdaq’s Financial Information Exchange (FIX) protocol to facilitate stock trading on their platform.

Users will be able to deposit cryptocurrency and purchase tokens that are backed by stocks in major traded companies.

“Digital stocks combine the best of both worlds: blockchain technology and traditional stock investments,” the company stated in a press release.

The press release continued: “Digital stocks are backed 1:1 to real-world stocks traded on conventional stock exchanges. You purchase tokens for leading assets that you choose to invest in, such as Google, Amazon, etc. Therefore, when you are a token holder, you own shares of the company.”

The platform, which was mapped out in May of last year, is reportedly the first exchange to be fully regulated within the EU.

As well as providing financial information to the exchange, Nasdaq are making further inroads into the cryptocurrency space in 2019, launching their Bitcoin futures product in the first quarter.

Their decision to list Bitcoin futures coincides with that of the Intercontinental Exchange (ICE), who are expected to launch their product, Bakkt, at the end of January.

Oliver Knight

Londoner ‘Ollie’ graduated from Birmingham City University with a journalism degree in 2016. He combines his writing with his love of crypto and blockchain here at Coin Rivet, saying “It disrupts well-established institutions (banks) while giving an avenue to the less fortunate to achieve financial freedom.” Like all true Londoners, his pet hate is… “People standing on the left-hand side of the escalators on the Tube!”.