The line between traditional capital markets and crypto exchanges continues to blur. Dubai-based digital asset exchange Bybit has officially enabled six tokenized stocks as new collateral for margin trading and crypto lending. The supported asset roster focuses on major tech and finance names, including Nvidia (NVDAX), Apple (AAPLX), Tesla (TSLAX), Alphabet (GOOGLX), Robinhood (HOODX), and Circle (CRCLX).
This collateral support is not confined to a single transaction type. Bybit users can now pledge their equities across its Unified Trading Account, Crypto Loans, and Institutional Loans. All tokenized shares are fully backed 1:1 by real-world underlying securities held directly by regulated custodians to mitigate third-party default risk.
Bybit laid the groundwork for this asset infrastructure when it launched its xStocks feature in June. Through a partnership with tokenization platform Backed, the exchange listed more than 60 US stock offerings that users can purchase and hold directly on-chain.
Why the Sudden Surge as Collateral?
Bybit’s decision highlights a growing industry trend across top-tier crypto exchanges. Kraken, which finalized its acquisition of platform Backed in late 2025, also began accepting tokenized shares as additional collateral for margin and futures markets starting this month.
Alongside Bybit and Kraken, Bitget has supported tokenized stock collateral for futures trading since June. Bitget expanded this further into crypto lending products in July, allowing traders to borrow crypto against their stock holdings.
These coordinated moves across exchanges reflect the rapid liquidity growth in the tokenization sector. According to data from RWA.xyz, the total market value of distributed tokenized equities has jumped nearly fivefold. In July 2025, the market stood at $361 million. Today, the valuation of these instruments has crossed $1.72 billion.
New Utility for Portfolios
Accepting stocks as margin collateral directly expands the real-world utility of blockchain-based equities. Tokenized stocks are no longer just passive instruments for crypto traders looking to hold foreign shares, but have evolved into an active capital buffer in volatile markets.
For traders, this collateral policy eliminates significant time friction. Those needing emergency liquidity to defend margin positions no longer need to liquidate conventional stock holdings and convert them into stablecoins. As long as their digital wallets hold tokenized equities, the bridge between crypto and traditional assets can immediately help keep trading positions alive.
Reported by Cointelegraph.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
