Introduction
More and more crypto exchanges offer "stocks". But three completely different products hide behind that word — with different rights, different risks and a different product structure. This page explains what to look for, and shows per exchange which product you really get.
The three product types
1. Real stocks. You own an actual share via a regulated custodian, usually under US securities law (NY UCC Article 8). Dividends, sometimes voting rights, and if the platform fails the shares remain yours.
2. Wrapper tokens (such as xStocks). A token representing a claim on an issuer (almost always Backed Assets in Jersey) who holds the share for you. Feels like a share, but legally you are a creditor — not a shareholder. Withdrawable to your own wallet and usable in DeFi.
3. Synthetic derivatives (CFD-like / X-Perps on stocks). You own nothing — you speculate on the price via a derivative. No dividend, no ownership, leverage possible.
Full legal explanation: Real stocks vs wrapper tokens.
What to check: the 8 questions
- Do I really own the share? Real stocks: yes. Wrappers: no, a claim. Synthetic: price exposure only.
- How are dividends processed? With real shares, cash dividends can be supported. Wrappers often process dividends synthetically or not at all; derivatives never pay dividends.
- What if the platform goes bankrupt? Real stocks with segregation: still yours. Wrappers: depends on the Jersey issuer's solvency. Derivatives: you are an unsecured creditor.
- Can I leave with my shares (ACATS)? Only real stocks with ACATS support transfer to a traditional broker without selling.
- Can I move to my own wallet / DeFi? This is where wrappers win: withdrawable as tokens. Real shares usually stay with the custodian.
- When can I trade — and how fast is settlement? 24/5 is the norm; some wrappers trade 24/7. Settlement ranges from instant to T+2.
- Which law governs a dispute? New York law (strong — the Schwab/Fidelity framework), Jersey law (offshore, weaker for EU investors), or derivative terms under MiFID II.
Who offers what?
At heart there are two camps. Backpack and Gate offer real US stocks through a broker structure; Kraken (xStocks), Bybit and Bitget offer token wrappers that run on the same Backed Assets (Jersey) issuer infrastructure, while MEXC's RealStocks run via Ondo Global Markets. The wrapper providers differ mainly in interface and fees — not in legal substance.
| Exchange | Product type | Notes |
|---|---|---|
| Backpack | Real stocks | EU-licensed offering, 1,000+ stocks (beta), instant settlement*, W-8BEN, ACATS, on/off-chain delivery (Solana) |
| Binance | Real stocks | Not available in NL/EU-licensed, 7,000+ stocks, T+2, no W-8BEN, no ACATS, BNB Chain |
| Gate | Real stocks (omnibus) | Cash dividends, regular US hours only, no voting rights, W-8BEN unclear |
| Kraken | Wrapper tokens (xStocks) | Backed Assets (Jersey), total-return model, withdrawable as Solana token |
| Bybit | Wrapper tokens | Backed Assets (Jersey), 24/7, no cash dividends |
| Bitget | Wrapper tokens | Backed Assets (Jersey), 30% dividend withholding without treaty access |
| MEXC | Wrapper tokens | Ondo Global Markets, 1:1 backed at regulated brokers, 24/7 |
| OKX | Synthetic derivatives | X-Perps on 7 US tech stocks — price exposure, no ownership |
| Bitvavo, Finst, Bitstamp, Coinbase, Crypto.com | No stock product | — |
*Instant settlement 90% of the time.
The full feature matrix
| Feature | Backpack | Binance | Gate | Kraken | Bybit | Bitget | MEXC |
|---|---|---|---|---|---|---|---|
| Product type | Real | Real | Real (omnibus) | Wrapper | Wrapper | Wrapper | Wrapper |
| EU-licensed offering | ✅ | ❌ | ⚠️ Varies | ✅ | ✅ | ⚠️ | ⚠️ |
| Real ownership | ✅ UCC Art. 8 | ✅ | ⚠️ Omnibus | ❌ | ❌ | ❌ | ❌ |
| Cash dividends | ✅ | ✅ | ✅ | ❌ | ❌ | ❌ (30%) | ❌ |
| W-8BEN (15% instead of 30% dividend tax) | ✅ supported | n.a. | ⚠️ unclear | n/a | n/a | n/a | n/a |
| Voting rights | ✅ | ✅ | ❌ | ❌ | ❌ | ❌ | ❌ |
| Number of stocks | 1,000+ (beta) | 7,000+ | Large | Limited | Limited | Limited | Limited |
| Settlement | Instant* | T+2 | T+2 | On-chain | On-chain | On-chain | On-chain |
| Trading hours | 24/5 | 24/5 | US hours | 24/5 | 24/7 | 24/7 | 24/7 |
| Withdraw to wallet | ❌ | ❌ | ❌ | ✅ | ✅ | ✅ | ✅ |
| ACATS transfer | ✅ | ❌ | ❌ | ❌ | ❌ | ❌ | ❌ |
| Custody | RQD / Atomic Vault (SEC) | Alpaca (SEC) | US partner | Backed (Jersey) | Backed (Jersey) | Backed (Jersey) | Backed (Jersey) |
| Governing law | New York | US | US | Jersey | Jersey | Jersey | Jersey |
| Bankruptcy protection | Bankruptcy remote (UCC §8-503) | n.a. | Depends on partner broker | Depends on Backed Assets (Jersey) solvency | |||
The four wrapper products share the same Backed Assets infrastructure; they differ mainly in frontend and fees, not legal substance. Based on public product documentation — verify current terms per provider. Last updated: July 2026.
Dividends and platform treatment
Two details many buyers miss: token wrappers generally do not pay dividends in cash — xStocks, for example, uses a total-return model that folds dividends into the token price. And according to its own product documentation, Bitget withholds the full US rate of 30% on dividends, where brokers with W-8BEN support can apply 15% for Dutch and Belgian users under the tax treaty. Always verify current terms with the provider; reference date July 2026.
With real shares, dividends can be processed as a cash amount. With wrappers, dividends are usually embedded synthetically in the token price or not paid out separately. With synthetic derivatives, dividends do not exist as an ownership right.
Trading hours and settlement
Two axes matter. When you can trade: 24/5 (real shares, some wrappers) or 24/7 (crypto-style wrappers) — note that off-hours pricing is synthetic, see 24/5 stock trading. How fast it is yours: instant settlement lets you reallocate immediately; T+2 means waiting two days.
Conclusion: which product fits you?
- Long-term investing, larger amounts: real stocks — ownership, dividends, W-8BEN and an ACATS exit weigh heaviest.
- DeFi use or self-custody: wrapper tokens — accept that you hold a claim, not a share.
- Short-term price speculation: synthetic derivatives may suffice — but know that you own nothing.
In all cases check the licence: tokenised stocks and stock derivatives fall under What is a MiFID II licence? in the EU.
Frequently asked questions
Is an xStock the same as a share?
No. An xStock is a wrapper token: a claim on the issuer (Backed Assets, Jersey). No voting rights, usually no cash dividend, no ACATS exit.
Is an X-Perp on a stock the same as a CFD?
Functionally comparable: price exposure without ownership via a derivative.
Who has the largest range?
Binance (7,000+ real shares), but unavailable to Dutch users. Within the EU-licensed offering, Backpack leads real stocks with 1,000+.