Coinbase has announced the launch of its equities tokenization program, marking the potential beginning of the next major bull narrative in the crypto market.
News of the tokenization push by the largest crypto exchange in the U.S. is also expected to provide a boost to the broader tokenization economy, which includes several well-known crypto projects such as Ondo Finance ($ONDO) and Edel Finance ($EDEL).
Ondo Finance has also made recent announcements regarding its tokenization of stocks push, with plans to launch a Solana-based stock and exchange-traded fund (ETF) tokenization solution, aiming to tap into Solana’s large user base and the network’s technical advantages over other layer-1 blockchains.
Earlier this week, Edel Finance took a major step into the tokenization market with the launch of its testnet, allowing users to experience first-hand how the platform will facilitate the lending and borrowing of tokenized stocks on the Base blockchain.
Analysts expect competition to heat up in the tokenization sector as teams vie to gain control of market share in what many predict will become a multi-trillion-dollar opportunity in the coming years.
Coinbase Makes Major Stock Tokenization Announcement
Coinbase announced its plans to launch a tokenization of stocks platform alongside a prediction markets application at a particularly active moment for both markets. Crypto-based prediction markets have seen a surge in demand over the past 12 months, especially as U.S. regulators have taken a lighter-touch approach, while interest in tokenized asset solutions has continued to grow among both retail and institutional investors.
At a strategic level, Coinbase’s announcement signals an expansion beyond crypto-native assets and into broader capital markets. The exchange is positioning tokenized equities as a core product offering, rather than an experimental feature, underscoring its ambition to capture early market share in a rapidly developing sector.
Coinbase has described this vision as building an “everything exchange.” “Everything you want to trade, in a one-stop shop, on-chain,” said Max Branzburg, Vice President of Product at Coinbase, previously outlining the company’s intent to bring stocks, prediction markets, and other assets on-chain.
With more than 100 million users globally, Coinbase is well-positioned to act as the primary onboarding rail for tokenized equities, potentially accelerating mainstream adoption at a scale few platforms can match.
Edel Finance: Lending and Borrowing Platform Goes Live
“Coinbase’s move into tokenized equities highlights how quickly this market is maturing, but access alone is not enough. As tokenized stocks reach a broader audience, the missing piece is lending and borrowing infrastructure that allows these assets to function like real financial instruments, and that is exactly what Edel is building,” said Andrés Soltermann, CEO of Edel Finance.
The Edel ecosystem can be compared to the highly successful Aave DeFi lending protocol, but instead of supporting crypto-native assets, it is designed for tokenized equities. The platform enables users to buy, lend, borrow, and collateralize tokenized stocks, bringing familiar capital markets mechanics on-chain.
According to Edel’s official documentation, billions of dollars in yield generated through stock lending are currently captured by brokers and intermediaries. These returns are rarely passed on to retail investors and instead bolster the profits of major brokerage platforms.
This week, the Edel testnet went live, allowing users to gain first-hand experience lending and borrowing tokenized assets such as Tesla, Apple, and Meta.
The product is partly made viable through partnerships that Edel has formed with some of the biggest names in the market, such as Ondo Finance and Chainlink, reflecting the idea of tokenization as an organically emerging narrative with its own niche within the crypto and financial services space.
“Our goal is to remove unnecessary intermediaries and ensure lending revenue flows back to the asset holders,” Soltermann said.
The $EDEL token sits at the center of the ecosystem and has been live for around four weeks, serving as the core utility token of the protocol and offering direct exposure to the tokenized equities infrastructure narrative.
Ondo Finance to Launch ETF Trading on Solana
Ondo Finance ($ONDO) has long been a leader in the asset tokenization space. Some of its products, including interest-bearing tokenized Treasuries, have been adopted by major financial institutions, and the ecosystem’s native $ONDO token was at one point among the hottest cryptocurrencies on the market.
Even though market sentiment has cooled around Ondo, as reflected in $ONDO’s recent price performance, the team continues to strengthen its position as a market leader. This week, Ondo announced plans to launch a Solana-based asset and exchange-traded fund (ETF) tokenization solution, which is expected to go live in 2026.
The announcement has once again placed Ondo Finance among the most talked-about projects in the tokenization sector. While $ONDO price action was not significantly impacted, the development reinforces long-term expectations that Ondo could play a major role in the future of tokenized stocks.
ONDO and EDEL are providing tokenization solutions.
Final Thoughts: $EDEL, $COIN, and $ONDO Positioned to Dominate Tokenization Industry
The Coinbase announcement has added fuel to the tokenization fire. Even as the crypto market has traded poorly in the final quarter of 2025, the drive for tokenization has continued to gather pace, and many analysts now believe it could become the hottest narrative in the coming months and years.
Coinbase, Ondo Finance, and Edel Finance have positioned themselves as major players in this space, each offering critical elements of an ecosystem that could grow into a multi-trillion-dollar market before the end of the decade.
FAQs
1. How do Coinbase, Ondo Finance, and Edel Finance differ in the tokenization ecosystem?
Coinbase focuses on distribution and user access, Ondo specializes in compliant asset issuance and structuring, while Edel provides lending and borrowing infrastructure that allows tokenized equities to be used productively once on-chain.
2. Why is lending and borrowing important for tokenized equities?
Without lending and borrowing, tokenized stocks remain passive assets. These functions enable yield generation, liquidity, short exposure, and capital efficiency—core features required for tokenized equities to function like real financial markets.
3. How does Coinbase’s tokenized stocks announcement fit into the broader tokenization narrative?
Coinbase’s announcement signals that tokenized equities are moving beyond experimentation. When a major exchange commits to tokenization, it reinforces the view that on-chain stocks are becoming a core part of future financial market infrastructure rather than a niche product.
4. Which types of investors are most interested in tokenized stocks?
Both retail and institutional investors are exploring tokenized equities. Retail users benefit from access and flexibility, while institutions are attracted to transparency, faster settlement, and programmable infrastructure that reduces operational complexity.
Disclaimer : Cryptocurrency investments are risky and highly volatile. This is not financial advice; always do your research. Our editors are not involved, and we do not take responsibility for any losses.
