PancakeSwap officially entered the tokenized stock market by launching perpetual contracts for three major U.S. stocks.
The increase in platforms offering tokenized stocks highlights the true potential of this sector.
PancakeSwap Enters Tokenized Stock Market
In its latest announcement, PancakeSwap, one of the main DeFi protocols on the BNB Chain, officially launched perpetual contracts for three iconic U.S. stocks: Apple (AAPL), Amazon (AMZN), and Tesla (TSLA). These contracts will be deployed on PancakeSwap V3 and support up to 25x leverage.
"PancakeSwap perpetual contracts are derivative contracts that do not expire, allowing prediction of cryptocurrency and stock prices without owning the actual assets. You can take long or short positions, with leveraged trading and 24/7 market access," the announcement stated.
This move is the first instance of a DEX expanding into stock derivatives. It represents a significant advancement of DeFi in integrating traditional assets, commonly known as real-world assets (RWA).
According to RWA.xyz data, the tokenized stock market has reached a market cap of $374 million, increasing 220% since June. Monthly transfer volume is approximately $330 million. Algorand has captured 66% of the tokenized stock market share, primarily driven by Exodus's EXOD stock.
"If just 1% of global stocks are tokenized, the market could exceed $1.3 trillion, which could drive significant growth towards mainstream adoption of on-chain assets and DeFi infrastructure," a Binance Research report emphasized.
According to the same Binance Research report, active on-chain addresses have surged from 1,600 to 90,000. However, centralized exchanges still outpace on-chain platforms by over 70 times in tokenized stock trading volume.
From a positive perspective, this gap highlights the growth potential for DEX platforms in this emerging sector.
xStocks, a protocol specialized in U.S. stock tokenization, has surpassed $2 billion in total trading volume just three months after launch. This growth indicates an explosive and promising demand for trading stocks in tokenized form. However, competition with early entrants will be a significant challenge for PancakeSwap.
According to data shared on X, PancakeSwap recorded positive growth in users and trading volume in July. The platform generated over $188 billion in spot trading volume, capturing 43% of the DEX trading volume market.
The launch of perpetual stock contracts could be a key growth driver for PancakeSwap in the coming months.
