Tether is considering tokenizing investor equity and share buybacks to offer liquidity for investors as it aims for a $500 billion valuation. A $20 billion fundraising round is being discussed, with a $1 billion stake valuing Tether at $280 billion. Tokenizing equity can boost liquidity and enable decentralized finance applications.

The US SEC approved the Depository Trust and Clearing Corporation to tokenize stocks, ETFs, and bonds, marking a shift towards onchain markets. J.P. Morgan facilitated a $50 million tokenized bond issue for Galaxy Digital Holdings. Coinbase is expected to announce its expansion into tokenized stocks and prediction markets, signaling a growing interest in tokenized finance.

Currently, tokenized public stocks are in the early stages of adoption, with approximately $700 million in public equities tokenized. This trend reflects a broader shift towards digital asset tokenization and decentralized finance applications in the financial sector.

Read more at CoinTelegraph: Tether Considers Tokenizing Investor Stake