Bitget: Block Scholes model shows that tokenized stocks can almost halve capital requirements

Disclaimer: Content does not constitute investment advice. Trading involves risks—please invest with caution!

Bitget and Block Scholes: Tokenized stocks as collateral can halve the capital required for a million-dollar portfolio

Bitget and research firm Block Scholes released a report on Thursday stating that using tokenized stocks as collateral could almost halve the capital required to simulate a $1 million investment portfolio to $175,000.

Synergies of unified accounts

This study provides an in-depth analysis of the Bitget exchange's own "cross-asset unified account" function. The account allows more than 370 eligible assets, including 125 tokenized U.S. stocks, to be transferred into the shared margin pool. Block Scholes simulated a $175,000 investment portfolio consisting of tokenized artificial intelligence and semiconductor stocks, Bitcoin (BTC) and Ethereum (ETH) perpetual contracts, and shorting Nasdaq 100 Index ETF perpetual contracts.

The

report pointed out that if the separate account model is adopted, stock positions and USDT margins will occupy approximately US$340,000. When using a unified account, these stocks are also included in the collateral range, reducing the capital invested by approximately $165,000.

Correlation Risk and Stress Test

Bitget CEO Gracy Chen said that listing assets is only the first step."The bigger problem is how to operate efficiently after the funds are linked."

The report also describes the trade-offs that exist when collateral and positions are influenced by the same market drivers. During the stress test, a stock-backed portfolio reached the estimated liquidation point when the market showed a correlation drop of about 21%; for USDT mortgages of the same value, the threshold was about 27%.

The report notes that cryptocurrencies and traditional stock markets respond to many of the same macroeconomic forces. Data shows that since January 2022, the 60-day average correlation coefficient between Bitcoin and the Nasdaq 100 Index ETF has been +0.41, peaking at +0.75, and since mid-2024, the relevant reading has remained high. level.