Gate xStocks Review: 24/7 Crypto-Settled Stock Trading with USDT and Fractional Shares

Gate’s xStocks Zone integrates traditional equities into a crypto trading platform, allowing 24/7 spot and futures trading of tokenized stock assets. Gate xStocks is a new trading section on the Gate exchange that brings real-world stocks to the blockchain era. It enables crypto-settled stock trading – users can buy and sell tokens that represent shares of major companies like Apple, Tesla, and Google at any time, with trades settled in cryptocurrency (USDT) instead of cash. This innovation bridges traditional stock investing with digital assets, offering global investors continuous market access and fractional ownership of stocks without the usual barriers of traditional stock markets. In this Gate xStocks review, we’ll explain what xStocks is, its key features, how it compares to regular stock trading, the benefits and risks, and how to invest in stocks with USDT on Gate.

What Is Gate xStocks?

Gate xStocks is a dedicated trading zone on Gate that offers tokenized versions of real stocks. In simple terms, it turns shares of publicly traded companies into crypto tokens on the blockchain. Each token (often with an “X” suffix, e.g. AAPLX for Apple) is fully backed by an actual share of the company, issued in partnership with a regulated fintech firm (Backed Finance). This means when you trade an xStock token, you’re getting price exposure to the real stock backed 1:1 by a real share, which ensures transparency and trust. Users worldwide can buy, sell, and trade these stock tokens on Gate’s platform just like any cryptocurrency, 24/7 and without needing a traditional broker.

How it works

Gate xStocks uses blockchain smart contracts to manage the tokenized stocks. Every token represents a share of a publicly listed company and is 100% collateralized by the underlying stock held by the issuer. For example, if you purchase 0.5 of an AAPLX token, it corresponds to half of an actual Apple share held in custody. This model allows for fractional stock ownership, letting investors buy even a small fraction of high-priced stocks using crypto. The tokens can be transferred on-chain, meaning you can withdraw them to your crypto wallet or potentially trade them on decentralized platforms, adding flexibility not found in traditional stock accounts.

Available assets

Gate’s xStocks launched in July 2025 with an initial selection of popular equities and indices. The first phase introduced eight major stock tokens – including Apple (AAPLX), Tesla (TSLAX), Google’s parent Alphabet (GOOGLX), Nvidia (NVDAX), Meta (METAX for Facebook), Robinhood (HOODX), Coinbase (COINX), and even SPYX – all traded against USDT. It also offers tokens for companies like MicroStrategy (MSTRX) and others, with more assets expected to be added over time. This range allows crypto traders to diversify into tech stocks and indices, and lets stock investors explore equities through a crypto-friendly format.

Key Features of Gate xStocks

Gate xStocks comes with a number of innovative features that set it apart from conventional stock trading platforms:

• Crypto-Settled Trades: All xStocks trades are settled in USDT (Tether), a stablecoin pegged to USD. There’s no need for a bank account or fiat currency – you can use your crypto balance to invest in stocks directly. This eliminates fiat onboarding hurdles and makes stock investing accessible to anyone familiar with crypto trading.

• 24/7 Trading Hours: Unlike traditional stock exchanges that operate on weekdays with limited hours, Gate xStocks is open 24/7. You can trade stock tokens round-the-clock, even on weekends and holidays. This always-open market lets investors react to news in real time and manage positions without waiting for the next day’s market opening.

• Fractional Stock Trading with Crypto: The platform supports fractional shares, meaning you can buy less than one whole share of a stock. With fractional stock trading using crypto, even high-priced stocks (like a $3000 Google share) become affordable – you might purchase 0.1 of a GOOGLX token, for instance. This lowers the barrier to entry and helps with portfolio diversification, as investors can spread smaller amounts across many assets.

• Spot and Futures Markets: Gate xStocks offers two ways to trade:

  • Spot Trading: Buy and sell the tokenized stocks directly (for immediate ownership) similar to buying a stock or crypto asset.
  • Perpetual Futures: Trade derivative contracts on the stock tokens with up to 10× leverage. Perpetual futures have no expiration date, allowing you to hold long or short positions as long as you maintain margin. This feature enables advanced strategies like shorting stocks or using leverage for higher potential returns – something traditional stock brokers may restrict or require special accounts for. (Do note that leverage amplifies risk, as losses can also multiply.)

• No Geographic Barriers: Gate xStocks aims to provide global access to tokenized equities. Anyone with a Gate account and USDT can participate, regardless of their country, without the usual regional restrictions of stock exchanges. There’s no need for a brokerage account or accreditation – international investors can gain exposure to stock tokens via these products. This democratizes access to markets that were previously out-of-reach for many individuals around the world.

• Blockchain Transparency: Because xStocks are blockchain-based tokens, transactions and holdings can be tracked on-chain. Gate’s partner, Backed Finance, ensures each token is fully collateralized by real stocks held in custody. This on-chain model brings transparency and near-instant settlement to equity trading. It also means users can withdraw their stock tokens to a private wallet, enabling self-custody or transfer across supported blockchain networks – a flexibility traditional stock accounts don’t offer.

• Integrated with Crypto Ecosystem: xStocks trading is seamlessly integrated into Gate’s crypto exchange interface. Users can easily switch between crypto markets and stock token markets. You can, for example, sell some Bitcoin for USDT and immediately use that USDT to buy Tesla stock tokens – all on one platform. This convergence of asset classes allows crypto-native traders to diversify into equities without leaving the crypto ecosystem, and traditional investors can explore crypto markets alongside stocks on the same exchange.

Gate xStocks vs. Traditional Stock Markets

Gate xStocks brings the stock market experience into a crypto context, which comes with some key differences compared to traditional stock trading. Below is a comparison of features between xStocks token trading and the traditional stock market:

• Trading Hours: Traditional stock exchanges operate only during set hours on weekdays and close on weekends/holidays. Gate xStocks, by contrast, operates 24/7 – you can trade at any hour, any day. This continuous market means you aren’t forced to wait for markets to open to respond to news or adjust your positions.

• Global Accessibility: Buying traditional stocks often requires a brokerage account that might only be available to residents of certain countries, and often involves identity paperwork and bank funding in specific currencies. On Gate xStocks, anyone globally can access stock tokens with just an internet connection and USDT, as long as the Gate platform is available in their region. There are no heavy regional barriers – for example, a user in Asia or Africa can invest in stock tokens directly, which is not easily possible via conventional brokers.

• Settlement & Ownership: In the traditional market, stock trades typically take 2 days to settle (T+2), and transferring shares between brokers or internationally can be slow and costly. With xStocks, settlement is near-instant on the blockchain, and tokens can be moved to your personal wallet in minutes. However, owning a tokenized stock is not the same as being a registered shareholder – you have economic exposure to the stock’s price, but you generally won’t get voting rights or direct interaction with the company’s investor services.

• Fractional Investing: While some modern brokers allow fractional share investing, many traditional brokerages still require you to buy whole shares. Gate xStocks natively supports fractional ownership down to small decimals. This means you can invest as little as, say, $10 to get a piece of a high-priced stock via xStocks, which makes diversification easier even with modest capital.

• Leverage & Short Selling: In traditional stock markets, accessing leverage or short selling typically requires a margin account and comes with strict regulations or may be unavailable to retail investors. On Gate xStocks, any verified user can use perpetual futures to go long or short with leverage (up to 10×) on stock tokens. This lowers the barrier to advanced trading strategies, though it also requires careful risk management by traders.

• Regulation and Investor Protection: Traditional stock trading is heavily regulated; investor funds are usually protected by insurance schemes, and brokers are subject to strict oversight. Gate xStocks operates in a more regulatory gray area – it leverages a compliant tokenization model (via a regulated entity Backed Finance) to back the tokens, but the overall regulatory environment for on-chain equities is still evolving. Users do face different risks (as explained below) and should understand that crypto exchanges are not bound by the same rules as stock exchanges.

Benefits of Gate xStocks for Investors

Gate xStocks offers several notable advantages that appeal to both crypto enthusiasts and stock market investors:

• Diversification for Crypto Traders: Crypto investors can diversify into traditional assets without leaving their exchange. This means you can hedge your crypto portfolio by holding some stock exposure (like tech stocks or indices) all within your Gate account. It’s a convenient way to balance risk between crypto and equities.

• Easy Access to Stocks with Crypto Funds: If you hold cryptocurrency or stablecoins, xStocks provides a direct route to invest in stocks using USDT. There’s no need to convert crypto to fiat, transfer to a bank, and use a brokerage – you save time and fees by investing in stocks with USDT on a crypto platform. For those unbanked or in countries with limited brokerage services, this opens up investment opportunities that were previously hard to reach.

• 24/7 Market Opportunities: With around-the-clock trading, you can seize opportunities or manage risks in real time. For example, if major news about a company breaks on a Saturday, you could immediately trade the related stock token on Gate xStocks, whereas traditional investors would have to wait until Monday. This constant market access can be a competitive edge for active traders who want flexibility.

• Lower Capital Requirement (Fractional Shares): Fractional stock trading with crypto significantly lowers the entry barrier. You can start investing in blue-chip stocks or indexes with very small amounts (even under $100), which is great for new investors or those with limited funds. It encourages better diversification – instead of putting $500 all into one stock, you could buy $50 slices of 10 different stock tokens.

• No Regional Lock-In: Investors from regions that lack access to certain international markets can finally participate. Gate xStocks removes that barrier by allowing anyone to trade these tokens globally. This borderless investing fosters inclusion and lets you build a truly international portfolio.

• Fast Settlement and Withdrawal: Trades on xStocks settle almost instantly, and you can withdraw your tokenized stocks to a personal wallet if you want. This is a benefit in terms of ownership control and flexibility – you’re not tied to one broker’s ledger. If you want to move your assets, you can send the tokens on-chain or potentially trade them on other supported platforms, giving you more control over your investments.

• Advanced Trading Features: The availability of perpetual futures with leverage up to 10x is a boon for sophisticated traders. It means you can short stocks or amplify gains easily on the platform. Traditional stock investors might appreciate that they can hedge or speculate on declines (via short positions) without needing complex options or margin accounts.

• Transparency and Security Measures: Because the tokens are on blockchain, there’s inherent transparency in how they operate (you can see token contract details and supply). Gate also emphasizes security through proof of reserves (publicly verifiable that the exchange holds assets equal to user balances) and requires ID verification (KYC) for users. Moreover, the partnership with a regulated entity (Backed Finance) to issue the tokens adds a layer of trust that the underlying stocks are indeed being held and managed properly.

How to Invest in Stocks with USDT on Gate xStocks

Getting started with Gate xStocks is straightforward even if you’re new to crypto. Here’s a step-by-step guide:

1. Create a Gate Account: Sign up on the Gate exchange. Enable 2-Factor Authentication for security.
2. Deposit Crypto or USDT: Fund your account with USDT directly, or deposit BTC/ETH and swap for USDT via Spot Trading.
3. Go to xStocks Zone: Find the stock tokens in the “Markets” section. Look for tickers like AAPLX/USDT, TSLAX/USDT, etc.
4. Trade Spot (Buy/Sell): Buy or sell xStock tokens with USDT. You can trade fractional quantities (e.g. 0.2 of AAPLX).
5. Manage Holdings: Tokens appear in your balance. Hold, trade, or withdraw to a personal wallet (if supported).
6. Stay Informed: Watch crypto and stock news. Use stop-loss orders and practice risk management.

Conclusion

Gate’s xStocks Zone represents a convergence of traditional finance and the crypto world. By tokenizing equities and allowing them to trade 24/7 with crypto settlement, Gate is pioneering a new model of market access. For crypto-native traders, it’s an opportunity to diversify into familiar stock names without leaving the crypto ecosystem. For traditional stock investors, it offers a glimpse of a future where markets never sleep and where owning a fraction of a share is as easy as holding a cryptocurrency.

This Gate xStocks review introduced the platform’s features, advantages, and important considerations. In summary, the key benefits – global accessibility, fractional investing, continuous trading, and seamless crypto integration – make xStocks an attractive option for those looking to invest in stocks with USDT and explore the synergy between digital assets and equities. However, potential users should also weigh the risks, from regulatory uncertainty to the responsibilities of managing assets in a crypto environment.

As the world of finance evolves, products like Gate xStocks are at the cutting edge of blending markets and technologies. They offer greater freedom and flexibility to retail investors, but also demand greater personal diligence. If you decide to try crypto-settled stock trading on Gate, start small, stay informed, and enjoy the empowerment of being able to trade global stocks on your own terms. The door to borderless, round-the-clock investing is now open – just remember to step through it wisely. Happy trading!