Coinbase Launches Tokenized U.S. Stocks on Base Network

How the Tokenized Stocks Work on Base

Coinbase has introduced four 1:1-backed tokenized U. S. stocks on its Base layer-2 network, enabling eligible non-U. S. investors to gain round-the-clock exposure to Apple, NVIDIA, Meta, and Alphabet. The launch took place on August 24, 2026, and operates under Base’s B20 standard for regulated digital assets. These tokens represent direct ownership of the underlying shares, with each token backed one-for-one by the actual stock held in custody.

The initiative aims to expand access to major U. S. equities for international users who face barriers to traditional brokerage accounts. By leveraging blockchain technology, Coinbase enables fractional trading, instant settlement, and 24/7 market access without relying on conventional exchange hours. The tokens are issued and managed through Coinbase’s infrastructure, ensuring compliance with regulatory requirements while maintaining transparency in backing and redemption processes.

What Safeguards Protect Investor Assets?

Each tokenized stock is minted and burned in response to user demand, with corresponding U. S. equities held in a regulated custody arrangement. When an investor purchases a token, Coinbase acquires the underlying share and locks it in reserve. The token’s value tracks the stock’s price in real time, and holders can redeem tokens for the actual shares or sell them on supported platforms. This model ensures that the token supply never exceeds the actual stock holdings, maintaining the 1:1 backing guarantee.

Coinbase states that the tokenized stocks are subject to regular audits and attestations to verify that reserves match outstanding tokens. The custody arrangement uses qualified custodians approved under U. S. financial regulations, and the tokens are not considered securities offerings in jurisdictions where they are made available. Eligibility is restricted to non-U. S. investors who pass identity and accreditation checks, aligning with cross-border regulatory frameworks.

Are these tokens available to U. S. residents? No, the tokenized stocks are currently offered only to eligible non-U. S. investors due to regulatory constraints.

Frequently Asked Questions

Can holders receive dividends from the underlying stocks? Yes, dividend equivalents are distributed to token holders in proportion to their holdings, typically in the form of stablecoin payouts.

Is there a fee to mint or redeem the tokens? Coinbase charges minimal network fees for transactions on Base, but no additional issuance or redemption fees apply for the tokenized stocks themselves.