Hassan Maishera
TL;DR
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The London Stock Exchange and Kraken owner Payward plan to tokenize shares of the 100 largest LSE-listed companies.
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The shares will become available through Payward’s xStocks platform over the coming weeks.
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Each xStock will be backed one-to-one by its corresponding underlying share.
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Tokenized stocks can trade around the clock across centralized exchanges, self-custody wallets and onchain applications.
The London Stock Exchange and Payward, the parent company of crypto exchange Kraken, plan to bring shares of the United Kingdom’s largest listed companies onto blockchain networks.
The companies announced the partnership on Tuesday, positioning it as an effort to modernize access to British equity markets through tokenization.
Over the coming weeks, shares of the 100 largest companies listed on the London Stock Exchange will become available through Payward’s xStocks tokenized-equities framework.
xStocks Will Be Backed One-to-One by UK Shares
Each xStock will represent a blockchain-based version of an underlying publicly traded share and will be backed one-to-one by that asset.
Unlike conventional equities, the tokens can trade 24 hours a day, seven days a week. Investors will be able to access them through centralized exchanges, store them in self-custody wallets or use them across compatible onchain applications.
The structure is designed to retain exposure to the underlying company’s share price while providing the portability and continuous availability associated with blockchain-based assets.
The initiative reflects growing interest in tokenizing real-world assets such as stocks, bonds and commodities.
In traditional markets, shares are typically traded during fixed exchange hours. Transactions must then pass through brokers, custodians, clearing houses and other intermediaries before final settlement.
A tokenized share can potentially move between compatible wallets and platforms almost instantly. It can also be transferred outside conventional market hours and integrated into decentralized finance applications while tracking the value of the underlying stock.
These features could improve market accessibility and capital efficiency, although users remain subject to the legal, custody, and regulatory structures governing the tokens.
Payward Expands Rapidly Growing xStocks Platform
The partnership extends an xStocks framework that has recorded significant growth since its launch.
According to Payward, xStocks have generated more than $40 billion in cumulative trading volume in just over a year.
Nearly $20 billion of that activity was settled onchain, indicating that approximately half of the platform’s volume involved blockchain-based transactions rather than conventional exchange infrastructure. The products have also attracted more than 200,000 holders.
UK Equities Join Broader Tokenization Trend
Adding the largest London-listed companies could significantly expand the range of traditional assets available through blockchain-based markets.
The collaboration also brings a major established exchange operator into a tokenization trend that has been developing across global financial markets for several years.
If successful, the initiative could give investors more flexible access to leading British companies while demonstrating how regulated exchanges and crypto infrastructure providers can connect traditional equities with onchain markets.
