On August 4, 2025, MyStonks platform officially launched the "Merkle Tree" feature, which, through this advanced technology, took a significant step forward in on-chain asset transparency and data verifiability. Users can now independently verify personal asset certificates and platform-wide asset snapshots in real-time, ensuring complete traceability of all asset flows and changes on the blockchain.

This feature breaks the dependence on third-party trust mechanisms, presenting users with genuine and unforgeable asset proof, greatly enhancing the platform's transparency and user trust. By making all asset certificate information publicly accessible and verifiable, MyStonks has established industry-leading standards for asset transparency and security.

The "Merkle Tree" feature supports independent audits by institutions, communities, and regulatory partners, effectively meeting international compliance and audit requirements, further promoting the platform's compliance upgrade. This technical launch marks a solid strategic step by MyStonks in innovative financial technology and compliance governance.

Merkle Tree Technical Principle

Merkle Tree is a hierarchical structure that protects data integrity through cryptographic hash algorithms, widely used in blockchain and distributed systems. It can be compared to a complex multi-layer package verification system in an e-commerce warehouse. Imagine a warehouse manager facing tens of thousands of small packages, who must ensure the safety and accurate delivery of each item, but checking each package individually is impractical. So, they attach a digital barcode to each small package, which contains an encrypted digest of all the package's information.

Then, several small packages are placed in larger transit boxes, and the box's barcode is calculated from the barcodes of all internal small packages. Larger cabinets then collect multiple transit boxes, also generating barcodes through the same computational mechanism. This multi-level packaging progresses layer by layer, ultimately forming a unique "total authentication code" for the entire transport chain. When customers have doubts, they don't need to unpack all packages; they can quickly confirm the authenticity and completeness of the goods by checking the barcode chain related to the target package, while precisely locating any process issues. This multi-layer barcode combination verification is the essence of the Merkle Tree.

MyStonks adopts a similar technical logic, encrypting and hashing each asset and data block, aggregating them in layers to generate a platform "asset total authentication code", ensuring data immutability and efficient verification. Users and regulators only need to consult the relevant hash paths and root hash to quickly and independently confirm the reliability of asset information. This not only significantly improves the security and transparency of on-chain asset data but also reduces the time and resource costs of data verification.

MyStonks Adheres to Compliant Development, Establishing a Global Multi-License System

As a leading digital asset platform, MyStonks has always prioritized compliance construction and user asset security since its establishment. In July 2025, the company successfully obtained the MSB license issued by the US Financial Crimes Enforcement Network, laying a solid foundation for its compliant operations in the United States and related regions. Simultaneously, MyStonks actively deploys in the European market, participating in the EU crypto asset market regulation project and promoting compliance pilot work for distributed ledger technology, aiming to ensure close integration of technological innovation and regulatory compliance.

Furthermore, MyStonks has developed a global compliance expansion route, applying for and preparing virtual asset service licenses in key regions such as Hong Kong, Singapore, and Dubai, constructing a multi-tiered license network covering the Americas, Europe, Asia-Pacific, and the Middle East. This layout effectively supports the company's global expansion of diverse businesses and strengthens its risk management and compliant operation capabilities. The launch of the Merkle Tree feature is an important component of its technical compliance governance strategy, significantly enhancing the on-chain transparency and auditability of platform assets, forming a virtuous cycle of compliance and technological innovation.

Leading the New Era of Digital Finance, Building a Trustworthy Asset Ecosystem

With the vigorous development of the global digital economy and blockchain technology, asset transparency and data credibility have become the foundation for the industry's healthy and stable development. By launching the Merkle Tree feature, MyStonks has strengthened its core competitiveness in asset security, data disclosure, and compliance auditing. This technology empowers users to efficiently verify asset authenticity without third-party intervention, significantly improving the platform's credibility and user stickiness. In the future, MyStonks will continue to adhere to the development philosophy of innovation-driven and compliance-first, deeply cultivating blockchain technology and digital asset ecosystem construction, continuously improving the compliance system, and promoting the digital finance industry towards a more secure, transparent, and inclusive direction.

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