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Galaxy Digital becomes first to tokenize its SEC-registered Class A shares on Solana blockchain enabling one-to-one token conversion with full legal rights; trading is limited to bilateral transfers

September 8, 2025 //  by Finnovate

Galaxy Digital, a Nasdaq-listed cryptocurrency, has announced a partnership with Superstate to tokenize its Class A common stock on the Solana blockchain. This marks the first time a US-listed company has proactively tokenized its shares on a public blockchain. Galaxy Digital believes that putting stocks on the blockchain involves complex links and that token holders do not have actual rights to the underlying company’s shares. Galaxy Digital and Superstate are collaborating to develop a clear on-chain process and architecture for tokenizing existing stocks directly on-chain as real shares. The platform, Opening Bell, allows users to convert GLXY’s Class A common stock into tokenized shares on a one-to-one basis. The process involves KYC registration at Superstate, transfer of shares to Equiniti via the Direct Registration System (DRS), and delivery of tokens to Solana wallets. Galaxy Digital plans to gradually expand trading venues as US securities regulators provide clearer guidance, ultimately enabling tokenized shares to be traded directly on Automated Market Makers (AMMs) and decentralized exchanges. However, the on-chain version of GLXY may have three potential risks: wallet theft or loss, price differentials between tokenized GLXY and traditional GLXY shares, and regulatory uncertainty. The core of this solution is that it provides a clearer on-chain process and structure than other third-party US stock tokenization service providers. As the issuing entity, Galaxy Digital can clearly define the rights status of issued tokens, which has positive significance for resolving the rights mismatch between traditional “packaged” US stock tokens and real stocks. However, the bigger problem lies on the circulation side. Currently, only registered users of Superstate can hold GLXY tokens, and GLXY does not currently support trading between DEXs. Even if DEXs are supported in the future, the liquidity situation remains unknown. Similar restrictions will hinder users from migrating to the chain.

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Category: Crypto & Blockchain, Innovation Topics

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