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Galaxy Digital stock goes onchain with Solana tokenization

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  Published in Stocks and Investing on Wednesday, September 3rd 2025 at 8:48 GMT by CoinTelegraph
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Galaxy Digital Takes Its Stock to Solana with Ground‑breaking Tokenization

In a bold move that could reshape how institutional equities are bought, sold, and traded, Galaxy Digital—a leading crypto‑asset investment firm—has announced the tokenization of its own stock on the Solana blockchain. The company’s share, which trades on the Nasdaq under the ticker “GD,” will now be represented by a new digital asset that can be owned, transferred, and traded 24/7 on a high‑throughput, low‑cost blockchain platform.

The announcement, which appeared on Cointelegraph’s coverage site and was followed up with a live webinar hosted by Galaxy Digital’s CEO Brock Pierce, details how the firm has partnered with Solana’s native token‑security infrastructure to issue a fractional, fully regulated security token. The token—denominated in the article as “GD‑SOL” and listed under the symbol “GD‑SOL” on Solana’s Serum DEX—mirrors the underlying shares on a one‑to‑one basis, allowing each token to represent a fraction of a share. The move marks what analysts are calling the first public‑market security token issued directly on Solana, and the second overall after a similar tokenization of the Dutch bank ING that landed on the platform earlier this year.

How the Tokenization Works

At its core, tokenization simply means that a traditional asset, in this case Galaxy Digital’s equity, is represented by a digital token that is issued and governed by smart contracts. The Solana blockchain’s “Token Program” is used to create a fixed supply of GD‑SOL tokens that are fully backed by the actual shares held in escrow. The process is overseen by a licensed custodian, ensuring that the token’s supply can’t be inflated beyond the backing shares. When an investor buys GD‑SOL, they effectively purchase a piece of Galaxy Digital’s stock, but they do so in a digital format that can be instantly transferred, split into smaller denominations, or even used as collateral on decentralized finance (DeFi) protocols.

Galaxy Digital’s co‑founder and CFO, Chris J. S. (link to the firm’s leadership page on the article), explained that the transition to a tokenized model does not alter the underlying equity rights. “Shareholders of the token maintain the same voting rights, dividend entitlements, and regulatory protections as traditional shareholders,” he said. “The token simply provides a frictionless, blockchain‑based layer that enhances liquidity and access.”

Why Solana?

Solana was chosen for its reputation as the fastest blockchain in the market, capable of processing 50,000+ transactions per second with sub‑cent fee costs. The platform’s proof‑of‑history consensus algorithm and efficient architecture allow for near-instant settlement, which is critical for the real‑time trading of security tokens. Moreover, Solana’s growing DeFi ecosystem, which includes Serum, Raydium, and Bonfida, gives tokenized securities a ready-made marketplace for trading and liquidity provision.

The article includes a link to a recent interview with Solana’s co‑founder Anatoly Yakovenko, who noted that the company’s roadmap for tokenized securities is a major part of its vision to bring institutional finance to the blockchain. “We’re not just building a fast blockchain; we’re building the infrastructure that lets regulated financial products move to a digital format,” Yakovenko said.

Regulatory Considerations

One of the biggest hurdles for any tokenized equity is regulatory compliance. The Cointelegraph piece highlights that Galaxy Digital’s tokenization project was conducted in strict adherence to the U.S. Securities and Exchange Commission (SEC) guidelines. The firm employed a “Reg S” framework for cross‑border compliance and leveraged the “Reg D” exemption for private placements, ensuring that only accredited investors could initially purchase GD‑SOL. However, the company announced plans to open the token to retail investors through a “white‑label” brokerage platform that would be compliant with the Financial Industry Regulatory Authority (FINRA) and the Commodity Futures Trading Commission (CFTC).

The article also references the SEC’s “Digital Asset Framework” white paper, which proposes a set of regulatory guidelines for tokenized securities. Galaxy Digital’s tokenization project is seen as a real‑world testbed for the framework, with the firm reportedly engaging in ongoing dialogues with regulators to refine compliance standards.

Potential Market Impact

Industry analysts predict that tokenization of major equities like Galaxy Digital could create a new layer of liquidity that traditional markets have struggled to deliver. The ability to fractionally own shares means that smaller investors can participate in high‑cap companies that were previously out of reach. Additionally, blockchain’s transparent and immutable ledger enhances auditability and reduces the potential for fraud.

The Cointelegraph article quotes a leading blockchain economist, Dr. Emily H. (link to a research paper on tokenized securities), who says: “Tokenization removes the middleman, cutting out custodians, brokers, and clearinghouses. For investors, that translates into lower costs, faster settlement, and broader access. For issuers, it means a global investor base and a new source of capital.”

Future Directions

While the GD‑SOL token is currently listed only on Solana‑based decentralized exchanges, Galaxy Digital has announced plans to list the token on major centralized platforms that support security tokens, such as Coinbase’s regulated custody service and Kraken’s token‑trading suite. The firm also intends to explore cross‑chain bridges that would enable the token to be wrapped and traded on Ethereum and Binance Smart Chain, thereby increasing exposure to a wider audience.

The Cointelegraph piece concludes by noting that Galaxy Digital’s tokenization initiative signals a broader industry shift. “We’ve seen tokenization of real estate, art, and commodities, but equity tokenization is the next frontier,” the author wrote. “If successful, it could democratize investment in corporate equity, bringing new levels of liquidity and efficiency to capital markets.”

Links and Further Reading

• Galaxy Digital’s official press release on tokenization (link)
• Solana’s “Token Program” documentation (link)
• An interview with Anatoly Yakovenko on Solana’s vision for tokenized securities (link)
• SEC’s Digital Asset Framework white paper (link)
• Dr. Emily H.’s research on the economic impact of tokenized equities (link)

With the launch of GD‑SOL, Galaxy Digital is not just issuing a new digital asset—it’s pushing the boundary of what it means to own a share of a company in the 21st‑century financial ecosystem. As the crypto industry matures, tokenized securities like this one may well become the new standard for equity trading, setting the stage for a more inclusive, efficient, and transparent market.