xStocks was launched to provide 24/7, permissionless on-chain access to US stocks in the decentralized ecosystem. Built for a world that doesn’t sleep, tokenized stocks extend familiar stocks and ETFs beyond traditional market hours and into crypto-native environments where many investors already transact.
One thing, however, hasn’t kept pace with the markets: traditional stocks don’t offer accessible ways to earn rewards simply for holding them. Aside from dividend payments, which are limited to certain stocks and ETFs, most stocks generally remain unused in brokerage accounts, even as the broader financial system becomes more programmable and dynamic.
This is where Opt-In rewards on Kraken come into play.
We are excited to introduce Opt-In Rewards for eligible xStocks holders, allowing Kraken customers in supported countries to earn up to 1% rewards on the xStocks they already hold on the platform. Starting today, users will be able to earn through OIR by holding CRCLx, GLDx, GOOGLx, METAx, MSFTx, MSTRx, NVDAx, QQQx, SPYx, and TSLAx, with more xStocks eligible for OIR soon.
Opt-In Rewards are available to Kraken customers in over 100 eligible jurisdictions around the world, reflecting the global nature of the rapidly evolving xStocks ecosystem.
Why offer sign-up rewards for xStocks?
In traditional markets, most actions do not generate rewards or opportunities. You buy a stock, hold it in your account, and sell it back to the brokerage you purchased it from. Any value comes from market price appreciation or dividends declared by the underlying company. Apart from these mechanisms, ownership is a passive experience.
We see an opportunity to change this dynamic for our customers. Our approach with Opt-In Rewards is simple: if you choose to keep your xStocks on Kraken and support the growth and proliferation of the xStocks ecosystem, you should be rewarded for it. Opt-In Rewards are designed to do just that, without changing your exposure to the underlying stocks.
“If financial assets are going to live on-chain, they shouldn’t behave like they’re stuck in the last century,” said Mark Greenberg, global head of consumer affairs at Kraken. “Opt-in rewards apply crypto-native mechanisms to tokenized stocks, helping to create more dynamic, investor-aligned markets and accelerate adoption of what we believe to be the gold standard for tokenized stocks and ETFs. »
How Registration Rewards Work
If you reside in an eligible jurisdiction (see full eligibility here), hold xStocks in your Kraken account. Then register and:
- Earn up to 1% rewards on xStocks held in your Kraken account
- Receive rewards paid in the same xStock you hold, so your position grows steadily over time
- Continue to maintain exposure to the prices of the underlying stock or ETF
Concretely, until now, your xStocks remained in your Kraken account without generating additional rewards. With Opt-In Rewards, we reward you every week for holding these xStocks on the platform. Your xStocks continue to be backed 1:1 to the underlying stocks and can be traded or withdrawn seamlessly on the Kraken platform.
Why it matters to the xStocks ecosystem
Opt-In rewards aren’t just about individual benefits. They play an important role in helping the xStocks ecosystem grow.
By encouraging users to hold xStocks on the platform, Opt-In Rewards helps increase liquidity across the entire ecosystem. Greater liquidity allows for more efficient trading and better market quality. This also creates a stronger foundation for us to build future products and use cases on top of the xStocks framework.
In short, rewarding participation helps the ecosystem evolve in a way that benefits both holders, traders, and the ecosystem as a whole.
Over the coming months, we plan to enable more Kraken customers around the world to participate in the xStocks Opt-In Rewards program.
xStocks sign-up rewards are available to eligible Kraken customers through Payward Digital Solutions Ltd. (“PDSL”), a company authorized to carry out digital asset business by the Bermuda Monetary Authority. Neither this product nor xStocks are or will be registered with any other local securities regulators. Not available in the United States and other geographic restrictions apply. Reward rates are subject to change. Participation in the Opt-In rewards program involves an element of risk and may not be suitable for everyone. For full terms and conditions, please refer to Kraken’s Terms of Use.
