Kraken has just launched xStocks—brand new vaults that let investors earn DeFi yields on tokenized versions of Nvidia shares and major US stock ETFs. Here’s the gist: you deposit these assets, they get lent out on decentralized markets, and you pocket the lending income.

How xStocks Vaults Work

You drop your tokenized stocks or ETFs into the right vault, and Kraken puts those assets to work on DeFi lending platforms. The yield from these lending deals goes straight to you, all while you keep exposure to the underlying asset in its tokenized form. This approach fuses the backbone of traditional finance—stocks and ETFs—with the on-chain yield engines of DeFi protocols.

What Assets Are Available

xStocks is focused on tokenized versions of Nvidia shares and leading ETFs tracking the US stock market. This move gives tokenized securities more utility: instead of just holding or transferring, you can now earn passive income by putting them to work in DeFi lending.

What’s in It for Investors

These new vaults open up extra yield opportunities on familiar assets—stocks and ETFs in tokenized form—without losing your market exposure. For the ecosystem, it’s a big step toward bridging traditional markets and DeFi. For holders, it’s another tool for managing assets natively on-chain.