Grayscale Sees Stock Tokenization in Three Phases with Key Players Ahead

Grayscale has released a report outlining the development of stock tokenization in three phases. The first phase involves third-party wrapped tokens, which account for over 70% of the market capitalization of tokenized stocks. These wrapped assets operate on Ethereum, Solana, and BNB Chain, enabling trading and integration with decentralized finance applications.

In the second phase, the Depository Trust & Clearing Corporation (DTCC) plans to launch a pilot program for tokenizing stocks. The Canton Network has already been used as the first blockchain for this pilot. Grayscale anticipates that wrapped tokens, the DTCC asset model, and issuer-sponsored tokenization will coexist over the coming years.

The third phase involves companies natively issuing securities on-chain. Securitize became the first listed company to tokenize its own common stock upon listing on the New York Stock Exchange. Grayscale expects Ethereum, Solana, BNB Chain, Avalanche, and Canton Network to benefit from this evolution in ownership models.