Mount Equity Group Review of Tokenized Stocks Trading: How Does it Work?
In recent years, blockchain, cryptocurrency, and most of the Financial Technology sector have become more than buzz words in the digital space. Mount Equity Group Review finds that despite the fear, uncertainty, and doubt (FUD) surrounding the crypto space, more institutions embrace the possibility of the future.
FTX Blockfolio Acquisition
The FTX cryptocurrency exchange expanded retail aspirations through the $150 million acquisition of Blockfolio, a top crypto application. The said acquisition is the sixth-largest among crypto-based acquisitions worldwide. Initially a mobile-first crypto portfolio tracker, Los Angeles-based Blockfolio integrated with exchanges and top media providers to offer news, price, data, and team updates.
Currently, the FTX platform has over 30,000 monthly active users, with average daily volumes in derivatives, spot, and markets of over $1.5 billion. FTX’s trading fees would accumulate over $20 million monthly revenue. As investment options diversify to meet expanding client needs, several firms like Bahamas-based FTX have taken Trading to the next level.
An interview with FTX Chief Executive Officer (CEO) and Founder Sam Bankman-Fried, gave more insight into how FTX securities trading works. The company expands its offer to several countries and exchanges, succeeding in balancing compliance, regulations, and profitability through meaningful and strategic partnerships.
FTX Securities and Stock Trading Through Siamek Partnership
According to Mount Equity Group Review, FTX recently partnered with German licensed financial institution Siamek to launch stock trading where clients can trade Tesla there with quarterly futures and leverage. According to German regulation, a party authorized to lean on their existing license, sharing Know Your Customer (KYC) information gives FTX an extended right to offer securities trade to customers through Siamek.
While the partnership opens up specific trades, there are limitations on the products FTX can offer, what they can do as a company, and to what extent they can tokenize security assets and mobilize them around the world. This extension is exciting because it allows Financial technology to merge with different product types like equities, fiat on-ramps, and off-ramps in crypto exchanges and trade platforms.
24-Hour Trading
Mount Equity Group Review states that stock markets are closed half the time, causing missed opportunities. One of the best things about the Fintech industry and partnering with Siamek is the availability of a 24-hour trading market convenient for people using the platforms.
According to Sam Bankman-Fried, trading gaps such as liquid pre-open trading will happen. Still, there are price-discussing discoveries before markets opening at 9:30 AM EST, so you can expect stocks volatility at around 10:30 PM at 5:00 AM GMT+8 when markets close.
Bottomline
Technology blurs the thin line between finance and financial technology industries with tokenized stocks and other security assets. As more companies explore blockchain solutions, it’s only a matter of time before traditional market exchanges supplement stocks for the convenience of tokenization.
More countries are exploring the possibilities of adjusting current financial laws to suit the progressing fintech needs. Every exchange will eventually offer tokenized securities that traders could exchange for cryptocurrencies and fiat currencies.
