Coinbase is exploring the idea of offering tokenized shares of its stock, COIN, to U.S. users through its Ethereum layer-2 network, Base

Coinbase is exploring the possibility of offering tokenized shares of its stock, COIN, to U.S. users via Base, its Ethereum layer-2 network.

Jesse Pollak, a Base developer, shared this information on January 3, 2025, indicating that the initiative is currently in an exploratory phase.

Currently, tokenized COIN shares are accessible to non-U.S. users through platforms like Backed, a tokenized real-world assets (RWA) protocol.

Pollak suggested that bringing COIN to Base could align with Coinbase’s vision of a future where "every asset inthe world will be on Base."

However, he emphasized that there are no definitive plans yet, citing the need for regulatory clarity in the U.S. He stated, "We need regulatory clarity and improvements that embrace on-chain as an open platform to unlock this for everyone."

The global market for tokenized RWAs, including securities, is estimated at $30 trillion, according to Colin Butler, Polygon’s global head of institutional capital. Tokenized assets have been gaining traction as a bridge between traditional finance and blockchain technology.

However, regulatory uncertainty remains a major hurdle. Under President Joe Biden, the U.S. Securities and Exchange Commission (SEC) has taken over 100 enforcement actions against crypto firms for alleged securities law violations. While some progress has been made toward developing a broader legislative framework, Citi’s December research note highlighted that U.S. regulations still lag behind those in other major jurisdictions.

In November, COIN shares surged over 20%, crossing the $300 mark for the first time since 2021.

The rally followed Donald Trump’s victory in the presidential election, which analysts believe could ease regulatory pressures on the cryptocurrency industry.

Morningstar equities researcher Michale Miller noted that a Trump administration is expected to adopt a more crypto-friendly stance, particularly benefiting Coinbase’s staking business.

As of January 6, 2025 Coinbase (COIN) has a market cap of $72.04 billion. Coinbase ranks the world's 262th most valuable company.

In summary, while Coinbase is considering the introduction of tokenized COIN shares on its Base network for U.S. users, the initiative is in its early stages and contingent upon achieving regulatory clarity in the United States.