Kraken Launches Tokenized Stock DeFi Vaults and Supports Yield Earning

TechFlow reports: On September 15, according to Cointelegraph, cryptocurrency exchange Kraken has officially launched "xStocks," an on-chain yield vault service that allows investors to earn DeFi (Decentralized Finance) yields on tokenized stocks and ETFs held on the platform.

The feature is built on Kraken DeFi Earn's infrastructure, powered by the Veda protocol, with Sentora responsible for designing and managing the underlying lending strategies. Users' tokenized assets will be lent to decentralized financial markets such as Kamino on the Solana network, and the resulting yields will be distributed directly to users in the form of additional xStocks.

Currently, the initial set of tokenized assets supported by the vault include the Invesco QQQ ETF (code QQQx), the SPDR S&P 500 ETF (code SPYx), and Nvidia stock (code NVDAx). The feature is available to qualified customers in the European Economic Area and other applicable markets, but is currently unavailable to users in the United States, United Kingdom, Canada, Australia, and the UAE.