XStocksFi, a trading platform that tokenizes real-world (RWA) stocks, has announced a strategic collaboration with Pyth Network, a decentralized oracle platform.
XStocksFi is a digital platform that converts real-world stocks into digital tokens on the Solana blockchain for trading. On the other hand, Pyth Network is a decentralized oracle solution that offers real-time pricing data for assets (like crypto, commodities, and equities) on-chain.
This alliance represents a crucial move to connect TradFi with the decentralized finance landscape, aiming to make xStocksFi’s tokenized stocks accessible and cost-effective through the partnership with Pyth Network.
XStocksFi Taps Pyth for Robust Pricing Data
Based on this partnership, xStocksFi leverages Pyth’s oracle solution to ensure precise and real-time pricing data for tokenized stocks it provides to investors. In this case, Pyth’s price feeds play an essential role in maintaining coherence and trustworthiness of xStocksFi’s tokenized assets that are pegged 1:1 by real-world stocks.
The partnership is further set to build a competitive pricing in the xStocksFi’s trading network through Pyth Express Relay, signalling greater integration. The integration of this tool (the Pyth Express Relay) enhances transaction efficiency and market liquidity on xStocksFi’s trading system.
Also, this Pyth Express Relay is crucial as it brings MEV-free transactions to xStocksFi’s trading platform. This improves xStocksFi’s commitment to offering an efficient and secure tokenized asset trading experience that passes down income to investors.
The presence of this tool means that xStocksFi would have decreased transaction costs and competitive spreads for investors of its tokenized stocks.
Lastly, this collaboration enabled Pyth Network to join the xStocksFi Alliance, an association that involves major participants such as Jupiter, Raydium, and Chainlink. This association encourages a teamwork spirit to develop a transparent, liquid market for RWAs on-chain.
Accelerating Decentralized Assets Adoption
The collaboration between the two firms is crucial for the growth of the Web3 landscape, as it aims to widen the accessibility of investment markets.
By tokenizing conventional stocks and making them accessible on blockchain networks, xStocksFi’s trading platform, driven by Pyth, immensely reduces hurdles hindering worldwide users from investing in equities. This partnership aims to create a fair and inclusive investment system where people can invest in prominent equities without traditional obstacles and country-specific limitations.
The incorporation of Pyth Express Relay means enhanced market effectiveness and decreased transaction costs on xStocksFi. This integration makes trading xStocksFi’s tokenized assets more affordable and attractive compared to conventional investment assets.
Finally, this alliance highlights a further move to connect TradFi with DeFi. XStocksFi’s commitment to bringing RWAs (like equities) onto blockchain with Pyth’s powerful price feeds lays the foundation for advanced connection and composability between these two investment worlds.
