Kraken launches on-chain revenue vault to support tokenized stocks and ETFs
According to an announcement released on Monday, cryptocurrency exchange Kraken has launched on-chain revenue vault for some tokenized stocks and exchange-traded funds (ETFs). Customers can earn income by lending these assets through decentralized financial agreements.
The new xStocks vault supports tokenized versions of the SPDR S & P 500 ETF (SPYx), Invesco QQQ ETF (QQx) and NVDax. Its income comes from lending assets through the on-chain market. Proceeds will be paid in the form of deposited xStocks and redemption requests will be processed within three working days.
It is reported that the vault uses the same underlying infrastructure as Kraken DeFi Earn. Kraken DeFi Earn was launched in January this year and has attracted more than US$800 million in deposits so far.
xStocks Treasury is supported by Veda, and Sentora is responsible for designing and managing the lending strategies used to generate revenue. Assets are lent through DeFi markets such as Kamino on the Solana network, while Sentora is responsible for setting risk exposure limits and monitoring collateral, liquidity and oracle status.
The vault is currently open to eligible Kraken customers in the European Economic Area and other markets, but is temporarily unavailable to users in the United States, the United Kingdom, Canada, Australia and the United Arab Emirates.
Kraken's launch of related products comes as the tokenized equity sector is experiencing rapid growth. According to RWA.xyz data, the total market value of tokenized stocks and ETFs has climbed to approximately US$2.84 billion from approximately US$540 million a year ago.
Tokenized equities. Source:RWA.xyz 
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