Unlock on-chain stock investment: xStocks and TSLAX full guide for purchase

In the wave of accelerated integration between TradFi and Crypto Assets, xStocks, as a revolutionary tokenization stock product, is leading the transformation of investment methods. It allows global investors to break through geographical, temporal, and financial barriers to trade the stocks of giant companies like TSL directly with Crypto Assets. This article will use Gate exchange's TSLAX (TSL Tokenized Stock) as an example to detail the operational mechanism and practical path of xStocks.

##xStocks: When Traditional Stocks Meet Blockchain

xStocks is a tokenized stock asset built on the blockchain, which transforms the stocks of companies listed on the NYSE and NASDAQ into digital tokens (such as TSLAX corresponding to TSL stock), achieving the integration of traditional financial assets with the encryption ecosystem.

Each Token strictly follows a 1:1 physical asset collateralization mechanism. When a user purchases a TSLAX Token, the partner broker Backed Finance will buy an equivalent amount of Tesla stocks in the traditional market and deposit them into a regulated custody account (such as a Swiss bank), while generating the corresponding Token on the blockchain. These Tokens are issued on public chains such as Solana (SPL) and Ethereum (ERC-20), with licensed custodians holding the underlying stocks and undergoing regular independent audits to ensure reserve transparency.

Core Features:

• Price anchoring: Strictly track the real-time stock price of the underlying stock (e.g., TSL)
• Fragmented Investment: Supports small purchases starting at approximately $10, significantly lowering the investment threshold for blue-chip stocks.
• Around-the-clock trading: Break the time constraints of traditional stock markets from 9:30 AM to 4:00 PM EST and achieve 24/7 trading.
• On-chain free circulation: Tokens can be transferred into DeFi protocols to participate in staking, lending, and other scenarios, achieving "holding stocks to earn interest".

##TSL: The Tech Giant Reshaping the Automotive and Energy Industries

Tesla Inc. (stock code TSLA) was founded in July 2003 and is headquartered in Austin, Texas, USA. It is a clean energy company focused on electric vehicles, solar panels, and energy storage systems. In 2020, Tesla became the world's most valuable automotive company, with a market capitalization exceeding 1.02 trillion dollars (share price approximately 315.65 dollars/share) as of July 2025.

Core business segments:

• Electric Vehicles: Model 3/Y/S/X, Cybertruck, and Roadster
• Energy System: Solar Roof, Powerwall
• Artificial Intelligence: Full Self-Driving system (FSD), humanoid robot Optimus

In 2025, TSL's strategic focus is shifting towards the Robotaxi (autonomous taxi) sector, with plans to launch related products in August. This innovative layout is seen as its next growth engine.

##Step-by-step Guide: Purchase TSLAX in the Gate xStocks Zone

Gate will launch the xStocks section on July 3, 2025, becoming the world's first platform to support both tokenized stock spot and contract trading. Here are the specific steps to purchase TSLAX:

purchase process

1. Deposit USDT: Go to 【Assets】 → 【Spot】 account to get the USDT deposit address (supports multi-chain deposits).
2. Enter the trading area: Click on 【Trading】 at the top → Select the 【xStocks】 section.
3. Choose trading pair: Search TSLAX/USDT (TSL tokenized stock trading pair)
4. Place an order to buy:

• Market Order: Execute immediately at the current best price
• Limit Order: Set an ideal buying price and wait for market fluctuations to trigger.
• Enter the purchase amount (minimum purchase of 10 dollars)

5. Manage Assets: After the transaction is successful, TSLAX will be deposited into the spot account, and you can view holdings and floating profits and losses on the 【Assets】 page.

advanced features

• Contract Trading: Gate offers TSLAX perpetual contracts with up to 10x leverage for long and short positions.
• DeFi integration: Transfer TSLAX to a compatible wallet (such as Gate Web3 wallet) to participate in staking, lending, and other scenarios to earn additional rewards.

##Core Advantages and Potential Risks of xStocks

transformative advantage

• Borderless Investing: African users can trade TSL stocks after the New York market closes, while Middle Eastern users can allocate stock assets without a local brokerage.
• Settlement efficiency revolution: Transaction confirmation shortened from TradFi's T+2 days to instant completion on-chain.
• Composite financial functions: Holding TSLAX can simultaneously serve as collateral to borrow stablecoins, realizing an innovative income model of "holding stocks to earn interest."
• Cost Optimization: Aggregating global liquidity narrows the bid-ask spread by 30%, VIP level users enjoy lower fees.

Risk Warning

• No shareholder rights: Holding TSLAX does not grant Tesla shareholder voting rights or cash dividends, only capturing price fluctuations.
• Liquidity risk: Under extreme market conditions, there may be a short-term price difference of 2%-5%, and the trading depth of some Tokens is limited.
• Regulatory differences: Services are not provided to regions such as the US and Canada, and policy changes may affect access rights.
• Technical Security: Potential threats such as exchange hacks, blockchain network interruptions (like the brief downtime of Solana in 2025), etc.

##The Future Path of Financial Democratization

xStocks is not just a new product, but a key attempt to reconstruct the paradigm of global asset flow. With the popularity of high-performance chains like Solana and the clarification of regulatory frameworks, this type of tokenized security is expected to become a core channel bridging TradFi and decentralized finance (DeFi).

Currently, Gate has launched over 60 types of stock Tokens, covering a diverse range from tech giants to ETFs. As the average daily trading volume exceeds 5 billion USD, this fusion model is attracting close attention from TradFi institutions.

For ordinary investors, TSLAX is not only a ticket to Tesla's innovative dividends, but also an important medium to participate in the evolution of the financial system. As industry observers have said: "On-chain stock trading is not a replacement for traditional markets, but is creating a more inclusive parallel universe."