Brian Armstrong Sees Tokenized Stocks as Future of Financial Markets

TLDR

• Tokenized equity transfers jumped 76% in one month to $2.46 billion, per RWA.xyz
• Coinbase to launch an all-in-one app in 2026 for stocks, crypto, and commodities
• Armstrong supports 24/7 trading, fractional stock buying, and real-time settlement
• Critics say U.S. law adds bureaucracy with $55M blockchain program and 11 committees

Coinbase CEO Brian Armstrong believes tokenized stocks will transform global trading by offering wider access, 24/7 availability, and real-time settlement. As blockchain-based equity adoption rises, Armstrong says these assets will open financial markets to more people and drive the next phase of digital investing.

Armstrong Projects a Shift in Equity Markets

Coinbase CEO Brian Armstrong has said that tokenized stocks could reshape how equity markets function around the world. In a recent public statement, Armstrong said, “Tokenized stocks will be huge. So many opportunities.” He named benefits such as 24/7 trading, global access, real-time settlement, and fractional ownership.

Tokenized stocks are digital versions of company shares recorded and traded on blockchain networks. These can be purchased in smaller units and are not limited to traditional trading hours or regional markets. Armstrong noted that tokenization could allow broader market access and more flexible ownership models.

Several users on X, formerly Twitter, supported his view. One user, Andreas Kohl, warned against centralized structures but agreed with the concept of on-chain direct registration. Others expressed belief that tokenized capital markets would continue to grow in the coming years.

Coinbase Prepares Infrastructure for Tokenized Equity

Coinbase is building an “everything app” that will allow users to trade tokenized stocks, cryptocurrencies, and commodities on one platform. The rollout is planned for 2026. The company will issue tokenized shares internally, unlike other exchanges that use external partners.

Tokenized equity transfers grew by almost 76% in the past month and reached around $2.46 billion, according to RWA.xyz. While U.S. users face restrictions, trading volume is growing globally. Coinbase’s move to produce its own tokenized shares could position it for faster market adaptation.

Coinbase also partnered with Kalshi, a regulated prediction market, and acquired The Clearing Company to expand event-based trading. Most of The Clearing Company’s team is expected to join Coinbase to support the platform’s growth in prediction and event-driven markets.

New Law Raises Concerns Among Market Observers

The growth in tokenized equities is attracting regulatory scrutiny. The Deploying American Blockchains Act of 2025 includes a $55 million Blockchain Deployment Program managed by the U.S. Department of Commerce. The program is advised by 11 committees made up of consultants and government affiliates.

A user on X compared the program to the 2008 TARP bailout, calling it “TARP 2.0 with a crypto veneer.” Critics argue that real-time settlement could be delayed by required GAO reviews and interagency coordination. They warn that the law may slow blockchain innovation by adding layers of compliance and oversight.

Other users believe the bill allows traditional finance interests to reshape blockchain in their favor. They called for open markets to drive development without federal middlemen or redundant advisory boards.

Broader Expansion of Coinbase’s Blockchain Offerings

Coinbase is expanding across several sectors. In addition to its work with tokenized stocks, the company is investing in prediction markets and blockchain infrastructure. Partnerships include Roam, Spindl, Iron Fish, Deribit, Opyn Markets, Liquifi, Sensible, Echo, and Vector.fun.

Coinbase Financial Markets is also testing event contracts that allow users to trade binary outcomes on topics like elections or sports. These contracts are structured under Kalshi’s existing regulatory framework. The goal is to offer a broader set of blockchain-native financial tools within one unified platform.

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