Binance launches zero-commission tradable equity tokens, and Tesla becomes the first to try it!

Recently, the cryptocurrency trading platform Binance announced the launch of zero-commission tradable equity tokens called Binance Stock Tokens, allowing users to trade fractional stocks. Among them, Tesla will be the first listed equity token.

Investors will be able to buy and sell Tesla stock tokens on the Binance cryptocurrency exchange when Nasdaq opens on Monday, but not everyone will be able to.

Tesla tokens will be priced and traded on Binance USD, a stablecoin pegged to the U.S. dollar and issued by New York-based Paxos Trust. However, investors in the U.S., mainland China and Turkey will not be able to own the stock tokens.

While the crypto community often says its markets are always open, Tesla's stock tokens will only trade when the Nasdaq is open. One downside to such trading is that token holders will not have the same rights as shareholders, such as the right to vote, monitor corporate documents or sue for illegal behavior.

Equity tokens can be traded as small as a fraction of one percent of a share, meaning an investor could add Tesla to their portfolio for just $70, a token equivalent to one-tenth of a share.

Editor's comments:

In fact, earlier this year, Tesla announced that it would invest $1.5 billion in Bitcoin in cash. At the same time, the company's CEO Musk responded that the company would accept cryptocurrency payments. Musk is also quite open to supporting cryptocurrency. He has publicly expressed his support for Bitcoin and believes that cryptocurrency "is about to be widely accepted by traditional financial people."