- INX and Backed Launch bNVDA, Tokenized NVIDIA Stock on the Ethereum Network
- Investors can trade bNVDA 24/7 with blockchain security and self-custody options.
- Future plans include expanding tokenized assets to ETFs, bonds, and commodities.
INX, a regulated marketplace for digital securities, announced today that it has partnered with Backed, a leader in real-world asset tokenization, to list tokenized securities on the INX platform for eligible users outside the United States.
This innovation promises to increase accessibility, liquidity and security for global investors, particularly those outside the United States.
bNVDA is a tokenized security backed 1:1 by NVIDIA Corp (NVDA) shares issued on the Ethereum network, and is the first tokenized security to be listed.
Revolutionizing Accessibility to Traditional Financial Assets
The introduction of bNVDA to the INX platform represents a significant step forward in democratizing access to traditional financial markets.
Qualified non-US investors can now trade bNVDA with the convenience and speed of cryptocurrency, bypassing traditional stock market hours.
This ability to trade 24 hours a day allows investors to react to market changes in real time, providing a level of flexibility that was previously unattainable in traditional financial systems.
Self-custody is another innovative feature that allows investors to store their securities directly in their personal wallets, thus maintaining full control over their assets. This eliminates the need for intermediaries and enhances the security of their investments.
Moreover, blockchain technology ensures transparent and secure transactions, and ownership is clearly recorded in a distributed ledger.
Bridging the Gap Between TradFi and DeFi
The partnership between INX and Backed is not just about convenience. It’s about creating a seamless connection between traditional finance (TradFi) and decentralized finance (DeFi).
By tokenizing real-world assets like NVIDIA stock, INX and Backed will allow crypto traders to build a diversified portfolio that includes traditional financial assets. This eliminates the need for off-ramps and allows users to manage their entire portfolio on the blockchain.
Backed’s tokenized public securities, or bTokens, are ERC-20 tokens that can be freely transferred between wallets and are extremely versatile.
These tokens, including bNVDA, are issued in accordance with EU regulations, ensuring full transparency for investors. The principal claim to collateral value (in this case, NVIDIA shares) is held in a licensed custodian under an account management agreement, providing a high level of security and trust.
The INX platform provides a comprehensive trading experience by integrating cryptocurrencies, fiat currencies, and security tokens into a single marketplace.
The ability to fund your account with cryptocurrencies and invest in tokenized stocks simplifies the investment process, making it accessible and efficient for investors around the world. This approach not only improves liquidity, but also opens up new possibilities for tokenized stocks to be used as collateral in DeFi applications.
Going forward, INX and Backed plan to expand tokenized products to include other assets such as ETFs, bonds, and commodities. This expansion will further enhance the diversity and appeal of the INX platform, making it a hub for tokenized real-world assets.
Backed’s recently completed Series A funding round and Republic’s reaffirmation of its commitment to partnering with INX demonstrate the growing momentum in the tokenized securities market.