BTC $83,450 
ETH $2,550 
USDT $0.9993 
BNB $751.01 
XRP $1.41 
USDC $0.9997 
SOL $111.65 
TRX $0.3317 
FIGR_HELOC $1.06
ZEC $1,304 IMF, Tokenized stocks 1.5 times more volatile than traditional shares
A new IMF study found tokenized stocks are 1.5x more volatile than traditional shares, with most trading occurring outside regular market hours.
Key takeaways
- Higher volatility confirmed. Tokenized stocks show approximately 1.5 times the realized volatility of traditional equivalent shares.
- Most trading is off-hours. Over 50% of tokenized equity trading occurs outside regular U.S. market hours.
- Fractional trades dominate. Roughly 80% of tokenized equity trades involve quantities smaller than one conventional share.
What happened
The International Monetary Fund published a study on tokenized stocks on October 8, 2026, as Chapter 3 of its Global Financial Stability Report. The research found tokenized U.S. equities have approximately 1.5 times the volatility of equivalent traditional shares. The study analyzed five actively traded tokenized U.S. equity products tracking Tesla, Nvidia, Alphabet, the S&P 500 and Nasdaq-linked exposure across 11 trading venues, covering $345 million in tokenized equity value over 365 trading days.
Why it matters
The IMF noted that tokenized stock markets remain less liquid, more fragmented and more exposed to sharp price movements than conventional exchanges. Over half of tokenized stock trading occurs outside regular U.S. market hours, and roughly 80% of trades involve quantities smaller than one conventional share, indicating strong demand for fractional ownership and extended trading from individual investors. The IMF estimated the total tokenized real-world asset market at $65 billion as of July 31, with tokenized equities making up $2.3 billion of that total.
What is still unclear
- The IMF cautioned its findings concern an early-stage market, so trading patterns could shift as additional institutional and retail participants enter the space.
Questions readers ask
Why are tokenized stocks more volatile?
The IMF found tokenized stocks are more volatile because markets are less liquid, more fragmented and have fewer participants to absorb orders than traditional exchanges. Decentralized tokenized platforms were the most volatile and least liquid of the venues studied.
What percentage of tokenized stock trading happens outside market hours?
More than 50% of tokenized equity trading occurs outside regular U.S. market hours, which run from 9:30 a.m. to 4 p.m. Eastern Time on business days. The IMF attributed this to demand from investors in different time zones and traders reacting to news when conventional exchanges are closed.
How big is the tokenized stock market?
As of July 31, 2026, the total tokenized real-world asset market was valued at roughly $65 billion, with tokenized equities making up approximately $2.3 billion of that total. Ondo Finance and Backed Finance accounted for more than 70% of tokenized stock value.
