Payward, the parent company of the cryptocurrency exchange Kraken, has announced a collaboration with the London Stock Exchange (LSE) to transfer shares of 100 of the largest UK companies onto the blockchain as xStocks tokens, with a 1:1 backing.
These tokens will be accessible to both retail and institutional investors in over 110 countries via Kraken’s platforms and the xStocks Alliance network. However, UK residents will be unable to trade these tokens for the time being due to regulatory restrictions.
Once regulatory approval is obtained, the digital shares are slated to be listed on a new platform by the LSE called LSE 24, which will facilitate trading during off-hours. Looking ahead, the LSE plans to issue securities directly on the blockchain.