Stocks and ETFs

• What are Stocks? What are ETFs
• How tokenized stocks and ETFs differ from standard stocks and ETFs
• Which Stocks and ETFs are supported in TON Wallet
• What you can do with stocks and ETFs in TON Wallet
• Where can I see my stocks and ETFs
• How stock and ETF prices are calculated in TON Wallet
• How to send stocks and ETFs to my TON Wallet
• Stocks and ETFs didn’t arrive in TON Wallet: what to do
• How can I send stocks and ETFs to another wallet
• What is the fee for transactions involving stocks and ETFs
• I am not able to withdraw stocks and ETFs from TON Wallet. I receive an error “You don’t have enough TON to pay for transfer fee”
• When can you swap stocks and ETFs in TON Wallet
• Do corporate events affect the value of stocks and ETFs in TON Wallet
• Are dividend payouts provided for tokenized stocks and ETFs
• Are there regional restrictions for swapping stocks and ETFs
• What are the risks associated with stock / ETF trading in TON Wallet

The terms “stocks,” “ETFs,” and any references to “tokenized stocks / ETFs” refer to xStocks. xStocks are price-linked tokens tied to real-world U.S. stocks and ETFs. 

What are Stocks? What are ETFs

Stocks are securities issued by a corporation that reflect the share of a particular individual’s interest in this corporation (such as share of financial returns or voting rights). By buying one share of stock, an investor gets an asset that allows them to benefit from possible capital gains (caused by fluctuations in stock price) and dividends paid by the company itself. A company’s stock price (market price) reflects the company’s current worth based on its performance and available public information.

Exchange Traded Funds (ETFs) collect money from investors and use it to buy different financial instruments (such as stocks or bonds). ETF shares are traded on stock exchanges, which means they can be bought and sold at any time during normal trading hours. ETFs usually hold a wide range of assets, helping investors reduce risk through diversification. The price of an ETF reflects the current value of all the assets it holds (its portfolio).

Stocks and ETFs in TON Wallet are not actual stocks and ETFs — they are merely tokens pegged to the price of actual U.S. stocks/ETFs. Tokenized Stocks and ETFs reflect the value of actual assets but do not grant shareholder rights. Learn more about the difference between Tokenized and Standard stocks and ETFs here.

You can see the available stocks and ETFs for swap on the Swap page under the “Stocks and ETFs” tab.

How tokenized stocks and ETFs differ from standard stocks and ETFs

Holding tokenized stocks and ETFs does not grant voting rights or any other shareholder privileges — only price linkage to the real stock and ETF and an approximated tokenized payout linked to the value of applicable dividends. The table below outlines the main differences between tokenized stocks and ETFs in TON Wallet and standard assets:

Which Stocks and ETFs are supported in TON Wallet

TON Wallet supports tokenized stocks and ETFs on the TON blockchain. 

Currently, 10 tokenized assets are available for swapping:

Please note: TON Wallet may periodically revise the asset list for swap. For the most up-to-date asset list, please refer to the Swap page (“Stocks and ETFs” section) inside TON Wallet.

What you can do with stocks and ETFs in TON Wallet

In the TON Wallet interface, you can:

• Store stocks and ETFs by sending them to your wallet address.
• Send stocks and ETFs to another wallet on the TON network.
• Transfer stocks and ETFs to your Telegram contacts.
• Swap stocks and ETFs.

Where can I see my stocks and ETFs

You can see your stocks and ETFs in the “Stocks and ETFs” section in the main menu of TON Wallet. 

How stock and ETF prices are calculated in TON Wallet

The prices of tokenized stocks and ETFs are linked to the prices of the corresponding real stocks and ETFs.

How to send stocks and ETFs to my TON Wallet

You can send tokenized stocks and ETFs to your TON Wallet from any TON blockchain wallet. 

To do this:

1. Copy your TON Wallet address. You can do this in two ways:
   • Open TON Wallet > My Address in the main menu — the address will be copied automatically.
   • Open TON Wallet > Deposit > External Wallet > copy the address or scan the QR code.
2. Enter your TON Wallet address in the service from which you plan to send the assets.
3. Make sure the transfer is done on the TON blockchain.
4. Send the stocks and ETFs to your wallet address.

Other users can also send stocks and ETFs to your TON Wallet address. 

Once the transaction is confirmed, stocks and ETFs will appear in the Stocks & ETFs section within a few minutes.

Stocks and ETFs didn’t arrive in TON Wallet: what to do

If someone sent you tokenized stocks and ETFs, but they haven't appeared in your TON Wallet yet, don’t worry. Sometimes blockchain transactions take a little longer to process. Usually, stocks and ETFs show up in the wallet a few minutes after the transaction is confirmed.

What you can do:

1. Wait a bit and refresh the TON Wallet page.
2. Check the receiving address: make sure stocks and ETFs were sent to the correct TON Wallet address. If you use multiple addresses, stocks and ETFs may have been sent to a different one.

To check your other wallet addresses:

Before proceeding, save your Recovery Phrase, otherwise you may lose access to your current wallet.

• Tap the three dots in the upper-right corner of TON Wallet.
• Go to Settings > Remove TON Wallet.
• After logging out, access the desired wallet using your Recovery Phrase or email.

3. Check via a blockchain explorer: if the stocks and ETFs still don’t appear, you can verify that the transaction was completed by checking your wallet address in a blockchain explorer.

How can I send stocks and ETFs to another wallet

To transfer tokenized stocks and ETFs:

1. Select the stocks or ETF you want to send.
2. Choose the sending method:
   • Tap Withdraw → External Wallet to send to a TON blockchain address.
   • Tap Transfer to send to another Telegram user.

What is the fee for transactions involving stocks and ETFs

When swapping, sending to Telegram contacts, or withdrawing to an external wallet, a TON network fee applies — the fee amount is shown before confirming the transaction. Fees for swapping and withdrawing to an external wallet can also be paid in Telegram Stars or USDT.

I am not able to withdraw stocks and ETFs from TON Wallet. I receive an error “You don’t have enough TON to pay for transfer fee”

Every blockchain transaction requires a network fee for sending a transfer. 

To ensure successful transfers of stocks and ETFs, you need at least 1.05 TON in your TON Wallet for the network fee.

If you don’t have enough TON in your balance, you can top up your TON Wallet in the following ways:

• Deposit TON from another wallet or from a centralized exchange (CEX). Your Telegram contacts can also transfer TON to you via a Telegram chat.
• Buy TON with your bank card.

You can also pay the fee in USDT or Telegram Stars.

When can you swap stocks and ETFs in TON Wallet

Swapping stocks and ETFs is available 24/7. You can learn more about swapping stocks and ETFs in TON Wallet here.

Do corporate events affect the value of stocks and ETFs in TON Wallet

Yes, they do. Each Stock in TON Wallet is a tokenized version of a standard share of stock. Thus, corporate actions affecting the value of underlying stocks or ETFs can influence your balance in TON Wallet as well.

Examples of common corporate events:

• Dividend payouts
• Stock splits
• Reverse splits

When executed by a standard stock issuer company, these events can also alter the prices of your Stocks and ETFs in TON Wallet, as well as the number of tokens in your balance.

1. Split example:

Imagine a 2:1 split event for a NFLX stock. You had 5 NFLXx shares, priced at $10 each before the split — a total of $50.

• After the split, you will receive one additional share for each existing one. As a result, you will have 10 NFLXx shares, priced at $5 ($10 / 2) each. The total value remains the same — still $50.
• As such, the total value of your tokens will not change after the split — the price of each token halved, but the number of shares will double.

2. Reverse split example:

Imagine a 1:2 reverse split event for a TSLA stock. You had 6 TSLAx shares, priced at $24 each before the event.

• After the reverse split, you will only have 3 TSLAx shares, priced at $48 each ($24 × 2).

Аre dividend payouts provided for tokenized stocks and ETFs

When the company whose stocks and ETFs are represented in TON Wallet pays dividends to its shareholders and ETFs holders, equivalent payouts are distributed to holders of the tokenized versions in the form of additional shares and ETFs. Instead of receiving a cash dividend, your stock balance in TON Wallet increases to reflect the dividend amount.

The payouts are credited to your TON Wallet within several days after the reception of dividends by the holders of the underlying real shares and ETFs.

Example: You own 10 AAPLx tokens. Apple Inc. declares a dividend of $0.25 per 1 AAPLx share. Instead of receiving $2.50 ($0.25 × 10) in cash, Backed Finance (the issuer of tokenized stocks) uses that amount to purchase additional Apple shares. These shares are then tokenized and credited to your TON Wallet. Your AAPLx balance automatically increases — for example, to 10.05 tokens, if $2.50 equals 0.05 tokens.

Are there regional restrictions for swapping stocks and ETFs

Yes, there may be certain regions where swapping tokenized stocks and ETFs is restricted. In accordance with the Terms of Use, functionality provided by third-party services in TON Wallet may be unavailable for certain regions and users. As a result, the swap of Stocks and ETFs may be unavailable to users from the United States. Detailed terms of the asset issuer are available here.

Additionally, TON Wallet is not available in certain countries. You can find the list of countries where TON Wallet is unavailable here.

What are the risks associated with stock / ETF trading in TON Wallet

Like any DeFi instruments, tokenized stocks and ETFs are associated with potential risks. Here are the key risks you should be aware of:

1. Market Risk and Volatility.

   Stocks and ETFs in TON Wallet mirror real-life financial assets with relatively volatile prices. The price of a tokenized asset may fluctuate significantly over short periods — at times even more than the price of the underlying stock.

2. Liquidity Risk.

   Market liquidity for tokenized Stocks and ETFs may be limited. In extreme market conditions, or if trading halts, you may be unable to swap the desired amount of assets at your desired price or time.

3. De-Peg Risk.

   While tokenized Stocks and ETFs are intended to mirror the prices of real stocks, they may not always track them perfectly in real time. Tokenized asset prices can deviate ("de-peg") from the underlying stock prices due to low liquidity, off-market trading hours, or issuer adjustments.

4. Issuer Risk.

   Tokenized Stocks and ETFs are backed by a third-party issuer (Backed Assets Limited). If the issuer fails to properly maintain the 1:1 backing, your assets could become partially or entirely unbacked, and their value may drop significantly.

By dealing with stocks and ETFs in TON Wallet, you confirm that you understand and accept these risks.

Disclaimer: this article is created for informational purposes only.

Any information we provide is not and should not be considered investment, tax, financial, legal advice, or a trading recommendation.

You are solely responsible for determining whether any protocol, cryptocurrency, investment strategy or related transaction is appropriate for you according to your personal investment objectives, financial circumstances and risk tolerance. 

TON Wallet does not endorse or guarantee the accuracy, reliability, or security of any external content or services that may be accessible through or interact with TON Wallet.

Always do your own research (DYOR) and carefully assess risks before investing in any assets.