For much of the AI boom, Nvidia has been the stock market darling. The stock started soaring shortly after the release of ChatGPT in Nov. 2022 and since then, it has gained more than 1,000%, becoming the most valuable company in the world, with a market cap of nearly $5 trillion. Now, many investors who missed the run-up are now shifting their focus to other AI chipmakers such as Micron and Sandisk.
Another intersting aspect is, as blockchain-based investing evolves, more investors are also choosing to own AI chip stocks in tokenised form. Here’s how you can buy AI chip stocks in tokenised form and how they differ from traditional stock investments.
How to buy tokenized stocks of AI chips like Nvidia, Micron from Mudrex?
Users can buy tokenized AI stocks such as NVIDIA and Micron on Mudrex:
- Search for the stock within the app
- and then place an order (just as they would for any other digital asset)
“Investors can also set up a SIP, allowing them to invest systematically over time rather than timing the market. This makes it easier to build long-term exposure to global technology leaders through a simple, accessible, and flexible investment experience,” Prateek Gupta, Head of Business at Mudrex
Mudrex currently offers over 60 tokenized U.S. stocks, enabling users to trade and invest in some of the world’s leading companies.
How does the technology work?
A tokenised stock is a digital version of a real stock. A regulated company first buys and holds the actual share, then creates a blockchain-based token that represents it. The token’s price mirrors the real stock’s price.
So if Tesla moves 2% up on NASDAQ, the tokenised version moves 2% up as well.
How safe are these transaction?
“Tokenized stocks can be a safe way to gain exposure to global equities, provided investors choose regulated, equity-backed platforms. These tokens are typically backed 1:1 by real shares held with licensed custodians, making them far more secure than synthetic alternatives that only track prices.,” Gupta asserts.
That said, they are not identical to holding stocks through a traditional brokerage. Investors should be aware of counterparty, custody, and smart contract risks, as well as differences in shareholder rights and regulatory protections. However, For most users, these risks can be significantly reduced by investing through established, compliant platforms.
As the ecosystem matures, tokenized stocks have the potential to become a secure and efficient bridge between traditional finance and blockchain-based investing.
If investors can directly buy US stocks through platforms like Vestige, why would they choose to buy tokenised stocks instead?
With traditional stocks, a broker holds the shares while investors only hold a claim against the broker. If the broker freezes the account, accessing assets requires legal intervention. Tokenised stocks, on the other hand, trade on crypto infrastructure with no brokerage account, fixed market hours, or standard settlement delays.
For example, investors can trade at 2 am on a Sunday, settle in seconds, use them as DeFi collateral, and hold them in their own wallet.
Apart from that, tokenized stocks allow for fractional ownership, which significantly reduced the entry barrier for investors.