Crypto investors now have the ability to invest in the top 500 largest exchange-listed stocks through a new crypto project. This happens through an ERC20-token called USStocks, which can be acquired with stablecoin DAI. The project was announced in a blog post this week. The project makes it possible for everybody to be active on the stocks market, without the need for a special license.
Financial contract platform UMA and Decentralized Autonomous Organization (DAO) MakerDAO released a token that’s tied to stocks on the New York Stock Exchange (NYSE) and NASDAQ. The USStocks-token tracks an index of the top 500 firms on the two exchanges, so it’s not possible to invest in just a couple of them.
Currently MakerDAO also has a problem, as the value of its stablecoin DAI hasn’t been that stable lately. In the past week the coin even had a value of $0.85, which – obviously – isn’t good. Currently Dai is valued at $0.98, while last night it also peaked at $1.02. Even though there are some alarm bells going off, the problems aren’t as big as they were with Tether (USDT) five months ago. Stablecoins are often considered to be the next major step for cryptocurrencies in 2019.
This is not the first project that tries to give crypto investors access to the stocks exchange. In Europe there’s a crypto exchange called DX Exchange, which allows users to invest in a companies like Tesla, Amazon, Microsoft, Google and others. Investing on those corporations can be done on the DX platform by using the available DXCASH tokens.
Also published on Medium.