My understanding to the best of my ability. I think jup would have to hold the assets similar to a LP and coordinate with api from a major stock exchange or a stock oracle ( dont know if thats a thing ) picking blue chip stocks first and progressivly working through stocks with potential
Legal aspects, im not sure what licensing but paperwork would be needed( i imagine) and stocks being more regulated will need to CYA and lead to having more of a paper trail (KYC) before being a realistic opportunity
Unless were talking about Speculative stocks and only holding a token that represents the price rather than it being backed by the asset it self, less bullish but could lead into a full exchange on chain over time with fees leading to buying stocks and (in theory) locking them on chain for future LPs.
Im not a coder, legal expert , or day trader
So i could be way off on all of this but its seem possible and im bullish on Jupiters Future !!!
It is a great idea! I was thinking about it too. The best part of the blockchain is that it is a bank/forex exchange that doesn’t sleep. Why shouldn’t the same apply to stocks too? I believe after the regulatory hurdles, it will all be in the implementation details. I would assume there would be a liquidity problem. With stocks trading only 8 X 5, if there is news over the weekend, blockchain stocks will take a hit. It allows for trading outside of trading hours and therefore the low volume of trading could cause significant losses.
I agree that stocks onchain is an interesting idea and will happen sooner or later. Especially because you wouldn’t have to off-ramp your money to diversify your assets /w stocks.
The oracle approach that simply tracks prices that you mentioned could work but I think it would be easiest to speak to projects that already did it and learn from their mistakes (e.g., Mirror Protocol, https://twitter.com/mirror_protocol).
I assume you’re talking about the GUM proposal! If they manage to get the regulatory aspect out of the way for stocks (I think this could be a big hurdle at least initially!), I also think it’s very bullish both for Solana and for Jupiter!
For the big players, stocks never sleep. That’s only true for retail. fund managers can trade on news over the weekend or after hours by trading on different exchanges or OTC/private markets. A 24-hour on-chain exchange would level the playing field. My question is about IPOs. Would GUM be an interesting environment to essentially IPO - structure a token in a way that would be straightforward to convert into a traditional stock/share instrument? If that was a path it would further disrupt venture/angel investing - I think probably for the better.