- Payward will let eligible xStocks holders submit proxy voting preferences through Broadridge, adding corporate governance participation.
- The update replaces the previous model where tokenized equity holders had no way to influence votes tied to underlying shares.
- Payward continues expanding xStocks internationally as tokenized equities gain broader adoption across global financial markets.
Payward, the parent company of Kraken, announced Wednesday that eligible xStocks holders will soon submit proxy voting preferences through a collaboration with Broadridge. According to the company, the change gives qualifying tokenized equity investors a way to participate in corporate governance after previously having no influence over votes tied to the underlying shares.
Payward Changes XStocks Voting Model
According to Payward, the new arrangement replaces the previous approach where xStocks holders could not express voting preferences. Instead, eligible investors will now submit proxy voting instructions for the shares backing their tokenized equities through Broadridge’s infrastructure.
Mark Greenberg, Payward’s chief commercial officer, said the goal of tokenization extends beyond improving capital markets. He added that company ownership should also include opportunities to participate in corporate governance.
Broadridge provides digital asset infrastructure that includes proxy voting, custody, wallets, and post-trade services. Notably, the partnership brings those capabilities to Payward’s tokenized equity offering for eligible participants.
Eligible Markets Continue To Expand
Issued by Backed, xStocks remain available only to eligible investors outside the United States. Currently, the products are also unavailable in the United Kingdom and to U.S. persons.
However, Payward recently partnered with fintech infrastructure provider GTN to broaden the xStocks lineup. According to the company, the expansion includes Hong Kong-listed shares, with additional plans covering Europe, South Korea, the United Kingdom, and other international markets.
Tokenized Equities See Broader Adoption
Payward said xStocks have processed more than $25 billion in total transaction volume since launching last year. The latest governance update adds another feature as the platform expands internationally.
Meanwhile, interest in tokenized equities continues to grow across financial markets. According to the company, blockchain firms and traditional financial institutions, including JPMorgan and Goldman Sachs, have explored moving securities onto blockchain networks.
The Broadridge collaboration adds shareholder participation to Payward’s tokenized equity model. Eligible xStocks holders can now submit proxy voting preferences while retaining exposure to the shares underlying their digital tokens.
