What is Nasdaq tokenized ETF (xStock) (QQQX)?

Deep Dive

1. Purpose & Value Proposition

QQQX bridges traditional finance (TradFi) and decentralized finance (DeFi) by tokenizing the Invesco QQQ Trust, an ETF tracking the Nasdaq-100 Index. This allows crypto-native investors to gain exposure to major U.S. tech equities without leaving blockchain ecosystems. The tokenization follows strict compliance standards, including the Swiss DLT Act and an EU-approved prospectus, ensuring regulatory legitimacy (Backed Assets).

2. Technology & Architecture

QQQX operates as dual-chain tokens (ERC-20 and SPL), enabling compatibility with Ethereum Virtual Machine (EVM) chains and Solana’s high-speed network. Dividends and corporate actions (like stock splits) are managed via token rebasing, automatically adjusting holdings to reflect underlying equity changes. Collateral is held in bankruptcy-remote accounts, prioritizing token holders’ claims (xStocks).

3. Key Differentiators

Unlike synthetic stock tokens, QQQX is fully backed by the ETF’s shares, reducing counterparty risk. Its cross-chain design and partnerships with exchanges (e.g., KuCoin, Bybit) and blockchains (TRON) position it as a liquidity standard for tokenized equities. The xStocks Alliance—a coalition including Kraken and Backed—drives interoperability across platforms (Toobit-for-spot-trading)).

Conclusion

QQQX merges TradFi’s stability with DeFi’s accessibility, offering a compliant gateway to equity markets via blockchain. As tokenized assets gain traction, will QQQX’s cross-chain infrastructure and regulatory rigor make it the default bridge for institutional capital entering crypto?