Crypto08 October, 20262 min read
Citrini Research Says Wall Street Tokenization Could Create Trading, Lending, Payments Businesses
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Tokenization of stocks, bonds and loans creates new trading and lending markets. Tokenized equities move on-chain, expanding liquidity across major trading networks.
5 outlets told this the same way.
Citrini backs tokenization
Citrini Research argued in its 79-page report titled Breaking the Wall that Wall Street moving financial assets onto blockchains could create new businesses in trading, lending and payments. Citrini said it was "actually more excited" about a separate crypto-token basket than about bitcoin and ether, and the report warned that investors should not assume majors will make new ATHs. Citrini highlighted Securitize for maintaining the legal link between blockchain tokens and the securities they represent, and it pointed to Coinbase for crypto exchange exposure through trading and blockchain infrastructure.
Citrini also said tokenization could let a tokenized stock serve as collateral for a loan directly from an investor's digital wallet without going through a traditional brokerage. Citrini cautioned that growing trading volumes and network activity do not always translate into higher token prices, and it urged investors to look at how protocols make money and who collects the fees.
Tokenized equities go liquid
Block Street said it was expanding its tokenized-stock stack across trading and distribution ecosystems, including integrations supporting Binance bStocks and Bitget’s tokenized-equity infrastructure. Block Street described Aqua as a cross-protocol liquidity network that routes liquidity across existing representations and execution venues through a common API rather than issuing another representation of a stock. Block Street said its Aqua network has routed more than $350 million in cumulative volume, and the company said more than 5 million BSB was staked shortly after its staking product went live.
Block Street said the ecosystem has grown to more than 55,000 token holders, and it framed the next phase as moving beyond liquidity aggregation alone into applications for tokenized equities. Block Street’s Hedy Wang said, "The next phase is about making those assets actually useful," as the company positioned liquidity, capital efficiency, and applications as layers of the tokenized-equity stack.
Formation merges post-issuance
Orca and Loopscale merged on October 8, 2026 to form Formation, with the company described as bringing trading, lending, and vaults under one organization. Tiger Research said Formation combines the three stages that follow issuance and plans to extend into issuance itself, while also describing tokenization as running through five stages: asset origination, issuance, trading, collateral and lending, and asset management. Tiger Research said Orca has handled trading since 2021 and Loopscale has handled collateral, lending, and asset management, and it said the merger aims to integrate those functions from the design stage onward.
Tiger Research reported that Orca has processed more than $500 billion in trading volume to date, and it said that for every $10,000 traded, the protocol has kept only about $1.80 in revenue. Tiger Research said Formation plans to release tools for issuers within the next 12 months and evaluate entry into the US market as part of its focus on where tokens are used after issuance.