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Tokenized Stocks Meaning

Tokenized stocks are blockchain-based representations of publicly traded equities. Each token mirrors the economic exposure of a real-world share, including price movements and, in some cases, dividends.

These instruments enable 24/7 trading, fractional ownership, and faster settlement compared to traditional equity markets. They also reduce barriers to entry for global investors by minimizing reliance on centralized intermediaries.

Institutional usage of tokenized stocks hinges on legal enforceability, accurate price feeds, and alignment with corporate actions.

When properly structured, they offer a more flexible and efficient equity market model.

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