StoneX sees 97% upside for Bullish as $4.2 billion Equiniti deal opens tokenization market

StoneX Financial has initiated coverage of the exchange Bullish with a Buy rating and a $42 price target, citing the strategic importance of its pending $4.2 billion acquisition of Equiniti. This deal is positioned as a critical infrastructure play, as Equiniti serves as the transfer agent for approximately 30% of S&P 500 companies and 50% of the FTSE 100. By acquiring this transfer agency business, Bullish aims to control the pivotal point where traditional equity database entries are converted into on-chain tokens. Analyst Mark Palmer describes this as a 'toll booth' strategy, enabling Bullish to capture significant value as the tokenized equity market scales from its current $2.1 billion valuation toward broader global equity integration. The acquisition involves $1.85 billion in assumed debt and $2.35 billion in Bullish shares, with Equiniti currently processing $500 billion in annual payments. Bullish is simultaneously expanding its tokenization capabilities across the Solana, Aptos, and Ethereum blockchains to support issuer-sponsored offerings. While the firm faces competition from established entities like the DTCC and Nasdaq, the integration of Equiniti's massive client base provides a unique competitive moat for institutional-grade tokenization.