Kraken parent Payward brings tokenized IPO access to retail investors
RWA Signal Insight
StocksPayward Services, a Kraken-affiliated company, is launching a program allowing eligible retail investors to access US initial public offerings (IPOs) at the offering price through tokenized shares. By leveraging the xStocks infrastructure, the initiative enables users to express interest in upcoming IPOs and receive 1:1 backed tokenized shares on listing day. This process democratizes access to investment opportunities typically reserved for institutional clients, effectively removing traditional barriers related to geography and net worth. The shares are backed by underlying stock held in custody by a regulated entity, ensuring a secure link between the blockchain-based tokens and traditional financial assets. This development represents a significant step in the broader RWA tokenization movement, which aims to integrate traditional financial products with blockchain infrastructure. With the RWA market reaching $51 billion, this move highlights the growing trend of using onchain settlement to broaden market participation. The first offerings are expected to roll out to Kraken and xStocks Alliance members in the coming weeks, with plans to expand to additional markets over time.
Key points
- Payward Services enables retail access to US IPOs via 1:1 backed tokenized shares.
- xStocks infrastructure processed over $6 billion in onchain settlement during its first year.
- Bernstein Research estimates the total RWA market has expanded to $51 billion.
- Kraken acquired xStocks operator Backed Finance in late 2025 to facilitate this integration.
Background
xStocks is a financial infrastructure platform designed to bridge traditional equity markets with blockchain technology. It allows for the tokenization of real-world assets, enabling fractional ownership and broader distribution of financial instruments. The platform focuses on settling transactions onchain to increase efficiency and accessibility for global investors.