According to several reports, Nasdaq has proposed to the SEC allowing stocks and ETFs to trade in tokenized form on blockchain, blending traditional finance with crypto tech. If approved by late 2026, this could revolutionize global markets, but its ripple effects on Africa promise transformative opportunities amid unique challenges.
For African investors, this means unprecedented access to U.S. assets. High costs and slow settlements have long barred entry, but tokenized shares enable fractional ownership and instant trades, bypassing currency hurdles. Imagine Nigerians or Kenyans investing in Apple stock via local apps, fueling diaspora remittances—over $90 billion annually—into productive capital. This democratizes wealth, especially in underbanked regions where crypto adoption thrives for hedging inflation.
Locally, tokenization could unlock Africa’s “standby capital.” Tokenizing real estate or commodities like gold turns illiquid assets into tradable tokens, potentially adding trillions to economies by 2030. In Nigeria, for instance, families could sell land shares for as little as N1,000, enabling collateral for loans and boosting liquidity. Cross-border trades in tokenized local currencies could reduce USD dependency, fostering intra-African economic ties.
Crypto players in Africa stand to benefit immensely. Exchanges and startups like those behind local stablecoins could integrate tokenized U.S. equities, expanding markets and innovating DeFi products. This aligns with global projections of $16–30 trillion in tokenized assets by 2030–2034, drawing institutional investors. However, competition from giants like Coinbase might sideline smaller firms, while regulatory lags in countries like Nigeria could stifle growth. Risks like hacks or synthetic tokens demand robust security.
Ultimately, Nasdaq’s proposal could accelerate Africa’s fintech boom, enhancing inclusion and growth. Yet, success hinges on adaptive regulations and infrastructure to mitigate risks, turning this U.S. innovation into an African powerhouse.
