What Are bStocks and How Do Tokenized Stocks on BNB Chain Work?

What Are bStocks?

bStocks are tokenized stocks or ETFs on BNB Chain. That means you do not directly own the actual stock or fund. Simply put, a bStock tracks the value of the underlying stock or fund, but legally it is a separate certificate.

The tokens are issued by BTech Holdings Limited, a company affiliated with Binance and based in the Abu Dhabi Global Market (ADGM). bStocks run as BEP-20 tokens on BNB Smart Chain. BEP-20 is a standard for tokens on this blockchain, which lets compatible apps and crypto wallets recognize and use these tokens.

A bStock is not the same as directly owning the underlying stock. For example, if you own a NVIDIA bStock, you are not directly registered as a NVIDIA shareholder and you do not get voting rights through the bStock. Legally, the bStock is a certificate that gives you economic exposure to the underlying asset.

According to Binance, each bStock is backed 1:1 by the corresponding underlying asset held by a regulated custodian. Users who qualify can also convert a bStock back into the corresponding traditional stock position through Binance on a 1:1 basis. The exact options depend on your location and whether you meet Binance's requirements.

The underlying stocks and ETFs are held with a regulated custodian. In return, BTech issues bStocks, with each bStock backed 1:1 by the corresponding underlying asset according to Binance.

Binance publishes a daily Proof of Collateral for this. That makes it possible to check whether enough underlying assets are being held against the issued bStocks.

Key Takeaways

• bStocks are BEP-20 tokens on BNB Smart Chain with economic exposure to U.S. stocks and ETFs.
• A bStock is legally a certificate, not a direct share in the underlying company.
• If you only hold bStocks, you do not have voting rights or a direct spot in the stock register.
• Under certain conditions, the provider offers a 1:1 conversion to the underlying asset through Binance.
• The issued tokens are supposed to be backed by held underlying assets.

How Do bStocks Work?

bStocks work by holding underlying stocks or ETFs and issuing tokens against them on BNB Smart Chain. The bStock gives you economic exposure to the underlying asset without you directly owning the stock itself.

You can think of it as two layers. In the background, the real assets are held. On the blockchain, you use a token that is linked to them. According to Binance, the issued bStocks are fully backed by the underlying assets.

The price of a bStock on a secondary market is not set directly by the issuer. It is created by supply and demand on the trading platform. Because of that, the market price of a bStock can temporarily be higher or lower than the price of the underlying stock.

That difference can get bigger, for example, when the U.S. stock market is closed or when there is little liquidity. Liquidity simply means how easily you can buy or sell something without the price moving a lot.

Right now, Binance processes dividends and stock splits automatically through an on-chain system called the Multiplier. The Multiplier determines the ratio between a bStock and the underlying stock and can change because of things like dividend payments or stock splits.

According to Binance's current information, when a dividend is paid, the net dividend value, after applicable U.S. withholding tax, is automatically reinvested in the underlying stock. Through an adjustment of the Multiplier, the bStock balance then increases proportionally. So you do not receive the dividend as a separate cash payout in your wallet.

The Multiplier is also adjusted for stock splits. For example, in a 2-for-1 split, the number of bStocks doubles while the price per token roughly halves. The economic value of your position does not change because of the split itself.

This is how Binance currently has bStocks set up. The handling of dividends, stock splits, and other corporate actions may change in the future. So always check Binance's current terms and documentation.

Example: Suppose a company does a 2-for-1 stock split. The number of underlying shares doubles and the price per share is cut in half. The bStock is adjusted automatically, so the economic value of your position does not change because of the split itself.

The 1:1 conversion is different from trading bStocks on a secondary market. According to Binance, eligible users can convert bStocks into the corresponding traditional stock position and vice versa. When trading on the spot market, you buy or sell the bStock at the price created by supply and demand at that moment.

Which Stocks and Other Assets Are Available as bStocks?

The selection of bStocks can change, so there is no fixed list that always stays complete. According to the most recent public ADGM disclosure we could verify, as of August 2026 there were bStocks linked to well-known companies such as AMD, Alibaba, Alphabet, Amazon, Apple, Arm, ASML, Broadcom, Circle, Coinbase, Dell, Intel, Meta, Microsoft, Netflix, NVIDIA, Oracle, Palantir, PayPal, Qualcomm, Robinhood, Tesla, TSMC, and Western Digital.

There were also bStocks linked to CoreWeave, Micron, SanDisk, SK Hynix, SpaceX, and Strategy.

In addition, there are bStocks linked to ETFs, including Invesco QQQ, SPY, iShares MSCI South Korea ETF, and VanEck Semiconductor ETF.

There are also bStocks linked to leveraged ETFs. These are ETFs that try to track the daily price movement of an underlying index, sector, or stock with extra force, for example two or three times up or down. Examples include ProShares UltraPro QQQ, Direxion Daily Semiconductor Bear 3X ETF, and several products from GraniteShares, Tradr, and Direxion. These products can move much more sharply in value than regular ETFs and therefore carry extra risk.

In August 2026, new bStocks were also legally approved, including GameStop bStocks. One important thing to know is that an approved prospectus or approved bStock does not automatically mean it is available on every trading platform or for every user. Availability can vary by country, platform, and user.

What Are the Benefits of bStocks?

One important feature of bStocks is that they combine economic exposure to selected U.S. stocks and ETFs with the features of blockchain tokens. They are designed to be tradable 24/7, even outside normal U.S. stock market hours.

Also, where allowed, bStocks can be stored in your own crypto wallet. That means you do not necessarily need a centralized trading account to hold the tokens or use them through an on-chain app.

Other possible benefits include:

• Path to direct ownership: under certain conditions, you can convert 1:1 to the underlying asset through Binance.
• Automatic processing: net dividends, splits, and reverse splits are handled through the Multiplier.
• DeFi possibilities: some bStocks can be used for swaps, collateral, or liquidity provision.

These features do not mean you can always trade without fees or without price differences. Gas fees on BNB Smart Chain, spreads, and platform fees can still apply.

What Risks and Limitations Do bStocks Have?

Along with the normal market risk of stocks, bStocks also come with extra risks because of the token structure, the issuer, and any use within DeFi. So you can lose money even if you only hold a token and do not use a complicated strategy.

The main risks are:

• Market risk: if the underlying stock or ETF falls, the value of your bStock can also fall. You may not get your original investment back.
• Price deviation and low liquidity: outside U.S. market hours, there may be fewer buyers and sellers. That can make spreads wider and cause the token price to move away from the underlying asset.
• Dependence on the structure: you depend on BTech Holdings Limited as the issuer, the regulated custodian holding the underlying assets, and the proper functioning of the token structure.
• Legal restrictions: bStocks are not available to U.S. persons or for use from within the United States. Transactions may be restricted, rejected, canceled, or reversed if violations are suspected.
• Blacklist risk: the issuer can block a wallet address, which would make bStock transactions impossible.
• Technical risk: smart contracts, wallets, bridges, and DeFi protocols can have bugs, vulnerabilities, or outages. A wrong transaction is often not reversible on the blockchain.
• Liquidation risk: if you use bStocks as collateral and the value drops too much, a protocol can sell your collateral.
• Tax risk: U.S. withholding tax may be taken from dividends before automatic reinvestment. Local tax rules may also apply.

Before using bStocks, always check whether they are allowed in your jurisdiction, what conditions apply, and how a specific DeFi protocol handles risk and liquidations.

What Is the Difference Between bStocks and Traditional Stocks?

The biggest difference is that a traditional stock represents direct ownership in a company, while a bStock is a certificate that provides economic exposure. So you do not automatically get the same legal rights as when you buy the stock itself through a broker.

Here is the difference in practice:

So a bStock can be a way to use stock exposure in a crypto environment. But it is not a digital copy of the exact same stock with the exact same rights.

Conclusion

bStocks bring selected U.S. stocks and ETFs to BNB Smart Chain in token form. That lets you combine economic exposure to those assets with features like 24/7 trading, self-custody, and, where available, DeFi applications.

At the same time, it is important to keep the difference from a traditional stock clear. Before conversion, you do not have direct shareholder ownership or voting rights. You also face extra risks, such as price deviations, lower liquidity, technical errors, jurisdiction-based restrictions, and dependence on the issuer.

So think of bStocks as a crypto-native way to work with stock exposure, not as a one-to-one replacement for directly owning stocks.