Crypto's Next Catalyst Could Be Tokenized Stocks: Clear Street Raises Bullish, Coinbase Targets

Clear Street has raised price targets for Coinbase and Bullish, citing the potential for accelerated adoption of tokenized stocks following the legislative setback of the CLARITY Act. Analyst Owen Lau suggests that the failure of this specific regulatory framework will likely incentivize market participants to expedite product development over the next two years. Coinbase is actively positioning itself as an 'Everything Exchange' by filing with the CFTC to list cash-settled, perpetual-style futures on 50-60 major U.S. equities, including Apple, Microsoft, Nvidia, and Tesla. This strategic move aims to disrupt traditional market structures by providing retail traders with early access to IPO allocations and tokenized financial instruments. The firm maintains that brokers and trading venues are increasingly prioritizing the tokenization of securities to bypass regulatory hurdles. By integrating primary financial market access with crypto-native infrastructure, Coinbase and Bullish are attempting to bridge the gap between traditional equity markets and digital asset platforms. This shift underscores a broader industry trend where crypto exchanges are evolving into comprehensive financial service providers that challenge established brokerage models.