US broker-dealer Alpaca launches Instant Tokenization Network (ITN) for institutions to mint and redeem tokenized US stocks directly, improving onchain liquidity. The ITN allows in-kind redemptions, making tokenized stocks more liquid and efficient. The market for tokenized stocks is valued at over $700 million. SEC approved in-kind redemption for spot Bitcoin and Ether ETFs.
Alpaca’s ITN process involves journaling securities to and from brokerage accounts and delivering tokens to Authorized Participants. Alpaca has supported tokenization initiatives like Ondo Finance’s platform for tokenizing stocks and xStocks’ platform for tokenized equities. Tokenization of real-world assets is a leading blockchain investment trend, with over $31 billion in assets represented onchain.
SEC Chair Paul Atkins supports tokenization as an innovation, with tokenized stocks gaining traction in the US. Traditional finance is drawn to features like 24/7 trading, but institutional players are cautious about sharing blockchain infrastructure with retail-focused projects. The SEC is considering a framework for traditional equities to trade on blockchain networks similar to cryptocurrencies.
Read more at Cointelegraph.com
Bitcoin hits new all-time high of $63,000, driven by increased institutional adoption and growing interest from retail investors. The cryptocurrency has surged over 100% in 2021 alone, with market capitalization reaching $1.2 trillion.
Ethereum also reaches new record high of $2,500, with a market capitalization of over $280 billion. The second largest cryptocurrency has seen a 200% increase in value this year, fueled by the growing popularity of decentralized finance (DeFi) applications.
Tesla CEO Elon Musk announces that customers can now purchase vehicles using Bitcoin, making it the first major car manufacturer to accept the cryptocurrency as a form of payment. The move is seen as a vote of confidence in Bitcoin’s long-term viability as a digital currency.
Major financial institutions such as Morgan Stanley and Goldman Sachs are reportedly exploring ways to offer Bitcoin investment products to their clients. The growing interest from Wall Street firms is seen as a significant milestone in the mainstream adoption of cryptocurrencies.
The European Central Bank (ECB) is considering launching a digital euro within the next four years, as part of efforts to keep up with the rise of digital payments and cryptocurrencies. The move could potentially reshape the European financial landscape and increase competition with private digital currencies.: Alpaca launches Instant Tokenization Network for US stocks