Kraken Supports Select Tokenized Stocks and ETFs as Margin for Leveraged Trading

Odaily Odaily reports that Kraken has begun allowing eligible users to use select tokenized stocks and ETFs as collateral for futures and margin trading, enabling them to open leveraged positions without selling their existing holdings.

The initial offering includes 10 tokenized stocks and ETFs, featuring Apple, Nvidia, Tesla, Strategy, SPDR S&P 500 ETF, and Invesco QQQ Trust. This feature is currently only available to eligible users outside the United States.

Kraken has also set collateral limits for different assets, with a maximum collateral value of $1 million for large-cap ETFs, $250,000 for most individual stocks, and $100,000 for tokenized gold and Circle stock. The platform stated that collateral limits and haircut rates will be reviewed periodically and may be adjusted based on market conditions. (Cointelegraph)