Partnering with a German-based investment firm and Swiss Digital Assets AG, Binance will offer Tesla shares for trading in the form of cryptocurrencies based on the value of Tesla’s stock, and the trading process will be commission-free initially.

Each new cryptocurrency will represent one share of Tesla stock and will be fully backed by an underlying securities depository.

Binance launches tradable cryptocurrency without commission:

announced Binance platform revealed its latest developments in a press release, in which it indicated that expansion and innovation in the field of cryptocurrency trading is possible and continuous through cooperation with the famous cryptocurrency platform “Digital Assets AG” and the licensed German investment company “CM-Equity AG”.

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Since the cryptocurrency is fully backed by Tesla shares, holders of the digital currency represented by the Tesla stock will receive economic returns as other Tesla holders, including potential profits.

Essentially, this means that the Tesla stock cryptocurrency represents economic ownership of the underlying stock asset but without the need to hold a physical stock certificate.

According to the press release, this option will reduce expenses for investors and enable them to participate more financially.

It is worth noting that these stock cryptocurrencies are not stocks, but will qualify their holders for exposure to the underlying assets.

Unlike traditional stocks, the new Binance product can be forked, allowing users to access specific stocks with different units and prices.

CZ, CEO of Binance, commented about the new product:

Equity coins demonstrate how we can democratize value transfer more smoothly, reducing friction and access costs, without compromising compliance or security.

By connecting traditional markets with digital currencies, we are building another technology bridge to a more inclusive financial future.

Starting with the Tesla stock:

The Tesla stock is the first stock to be represented in a digital currency for trading on the Binance platform.

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The minimum trading volume is one hundredth of the cryptocurrency based on the value of the stock, which is the same as a fraction of a Tesla stock share.

The Tesla stock cryptocurrency will be available for trading against Binance’s BUSD stablecoin.

The “FTX” platform is one of the first trading platforms to list digital currencies and tokens representing the shares of international companies for trading against cryptocurrencies:

The FTX platform offers the possibility of trading stocks against cryptocurrencies … details here

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