Crypto.com Brings Stocks to Cronos

[00:00:00]Today's biggest event is for sure the IPO of the SpaceX company by Elon Musk.

[00:00:07]But what if I told you you can now trade these stocks like SpaceX, Nvidia, Apple, and many, many more onchain 24/7, 365.

[00:00:18]And even better, it's all happening live on the Kronos EVM chain. So, how exactly does this work? And is this bullish also for the Kronos network? Well guys, I would say let's strap in and let's find out.

[00:00:34]This video is sponsored by Obsidian Swap on the Kronos network with their crazy swap feature. Check it out in the link in description down below. You probably have heard how strong the stock market is currently performing with many exchanges pointing towards all-time highs like for example the Amsterdam stock exchange. We also have the S&P, the NASDAQ and also the Dow Jones and many many others. And with that, many companies are also gearing up for an IPO, an initial public offering for their stocks. And they typically do that when the valuation is the highest possible. But exactly happening now.

[00:01:14]Today we had SpaceX, but in the upcoming weeks, I also expect Antropic and Open AI to hit the stock market. And that is of course happening guys during extremely bullish times. However, some indicators like for example the Buffett indicator are pointed towards some overvaluation.

[00:01:33]Currently citing here a value of 220%.

[00:01:37]You can see that during the com bubble over here we're even a lot lower only at about 120. But of course as the time go went on these stock market valuations also changed a little bit as well. But definitely we are now nearing the second standard deviation. So definitely gearing up towards some bubble territory. Nevertheless, even if we're heading into an eventual cool down period for the stock market, we can still make crazy gains during the tail end really of that bull cycle, especially also with these IPOs and especially also on these opening days.

[00:02:13]And on that front, we did get some news by Crypto.com and also by the Kronos team. So, in a recent announcement, the Crypto.com team introduced tokenized stocks like Nvidia, Tesla, Apple, and many, many more. And it should now be available in the Crypto.com app. You can trade these tokens 24/7, 365, which is a big difference between the typical stock market because there you can only trade during opening hours. And also a big difference is that you can also buy parts of a stock. So now if you want to buy a stock, you have to buy a whole share. Like for example, SpaceX is currently worth $135.

[00:02:55]So if you want to get one share, you have to put the full amount in there. So $135.

[00:03:01]But with Kronos now, you can have a fractionalized share. So it's just $1 really of a share, which is actually pretty cool. So you can trade these whenever you want. You can put in as much as you want. But also pretty cool, you have 4% annual earn with stock earn and these tokens are held or stocks are held in US custody. The tokenized stock should now be available globally in the Crypto.com app with unfortunately some exceptions as well. So for example, in the Netherlands due to local regulation, there's no access yet to the tokenized stock. So, the best you can do, just open your app, the Crypto.com app, start looking for your favorite stock, and if it's available there, you do know you have access. And if not, well, unfortunately, you have to wait a bit longer. If you don't have a Crypto.com app account yet, I also do have a referral link in the description down below to get you an head start with a bit of free crow as well. But anyways, what else is quite important is where these tokens are actually tokenized. And there we have to dive deeper into the help section as well. And there we can find some juicy information about these tokenized stocks because these tokenized stocks are tokenized directly here on the Kronos chain. This honestly is a big deal for Kronos as well in my personal opinion. But let's talk more about that after the quick words of today's sponsor. I partnered up with Obsidian Swap on Kronos, not only because they support creators, but also because they support their communities. For example, if you have your own token, there are plenty of incentives to also use Obsidian, for example, deck screener reimbursements, enrollment in the royalty program, 30-day daily quest, weekly leaderboards, and also volume stretch goals among other things. And besides that, they also have their own active community with the office hours, but also daily traffic spaces on X.

[00:04:57]Check out Obsidian Swap guys and also join the office hours.

[00:05:02]Anyways, before we continue talking about the importance really of these tokenized stocks for Kronos, I do want to mention the key differences between actual stocks and tokenized stocks or also so-called synthetics. Because with actual stocks for example, typically you have shareholder voting rights. So for example, if there's a stock split, you can have a vote about that. However, with tokenized stocks, you do not get any shareholder voting rights, but also you do not have access to direct shareholder communications from the issuer. Having said that though, typically for the smaller fish like you and me, it doesn't really matter anyways because your simple share is not enough to really sway the vote anyways. But I would say the next one is more important because with a share typically also have access to dividends and dividends are typically paid out in cash. That's again not the case with these tokenized stocks. So you do not receive dividends as cash. payouts are reinvested automatically and your token balance increases. There's no separate cash credits in your cash account. So cash dividends, they will also do automatic 30% US withholding tax. And also besides that, they will do a lot of other stuff as well. So for example, if you hold one Tesla share after the first dividend pay, you will hold 1.001 Tesla share for example. That's kind of how it will work. Now, we get to the cool part though of these tokenized stocks because with tokenized stocks, you can simply withdraw them from Crypto.com and get them all on chain to the Kronos network. And with that, you can start doing all kind of crazy stuff as well, like actual peer-to-peer transactions. If you want, you can directly send your stock or your share to a friend of yours. That's typically not possible in any stock trading platform like for example Revolute the Gearro or wherever you want to trade. So this really makes it like the old school days like when you went to the actual stock exchange you got a piece of paper and you could hand that piece of paper over to really anyone out there. So it buys back to peer-to-peer transactions.

[00:07:21]Besides these peer-to-peer transactions, I also expect all kind of different DeFi functionalities like for example liquidity pools with tokenized stocks, but also maybe decentralized lending with the collateral of tokenized stock.

[00:07:36]So all kind of stuff is now possible all available on the Kronos chain and it's really up to us with all builders or creators out there to also let imagination go loose. Having said all of that though, with the release of tokenized stocks on Kronos, one big blocker for the release of the actual Kronos app is now solved because the Kronos app wants to be more than simply a crypto app. It wants to be a trade everything app. So events, stocks, crypto, and also prediction markets. So without a part solved about the stocks, we can move forward and we can also start releasing the app. And honestly, I do know that many people out there now are really going crazy about stock trading. So, if only the Kronos app could get like 0.01% market share of a complete stock trading market, even then there's plenty of revenue going to the Kronos chain to the Kronos network and also to the Crow token with of course the buyback and burn mechanic with the revenue burn model. Personally, I'm not really planning to invest now in stocks, especially with all these cryptos being super super undervalued. So, I prefer to buy cryptos now and maybe go into stocks later when they definitely cool down a lot more. But let me know in the comments down below, guys. Are you interested in trading or buying stocks on Crypto.com or on Kronos? Let me know in the comment section down below. And also, while you're there, don't forget to hit the like and also strap in, of course, for future content. By the way, if you're curious about the CO token, I recently made a video here to the right of me talking about the potential of Crow being very undervalued. So, check it out right now.