Kraken Is Bringing Tokenization Into the IPO Allocation Room
Tokenized stocks usually begin trading after Wall Street has finished the IPO process. Payward Services is trying to move them one step earlier.
Summary:
- Payward is aggregating international retail demand before Ōura begins trading on Nasdaq.
- The xStocks model inserts tokenized distribution into the IPO allocation process, rather than waiting for secondary trading.
- ŌURAx carries a different legal relationship to Ōura than owning the company’s common stock through a traditional brokerage
Eligible Kraken customers and users of participating xStocks Alliance platforms can now submit non-binding indications of interest for Ōura’s upcoming Nasdaq IPO. Payward will aggregate that demand, seek an allocation of actual IPO shares and use those shares to back ŌURAx, which is expected to become available when Ōura lists.
The unusual part is not another stock moving onchain. It is where tokenization enters the transaction: before the IPO allocation has been completed.
Payward Wants Shares at the IPO Price
Ōura plans to sell 50 million shares at an expected price of $40 to $44, according to its September 21 amended S-1.
The company itself is offering 13.5 million shares, while existing shareholders are selling 36.5 million. Selling shareholders have also granted underwriters an option covering another 7.5 million shares. Ōura has applied to list on the Nasdaq Global Select Market under OURA.
Payward is building a parallel distribution layer around that offering.
Eligible customers can indicate how much they want to buy within the IPO price range, plus a 5% fee. Funds are reserved while Payward aggregates orders across participating platforms and seeks an allocation through the underwriting process.
Allocation remains entirely with Ōura and its underwriters. Payward explicitly says an investor could receive a full allocation, a partial allocation or none.
The Structure Separates the Share From the Investor
The mechanics become more distinctive after Payward receives shares.
The company says the underlying equity will back ŌURAx 1:1. xStocks can then move across participating platforms, self-custodied wallets and compatible onchain applications.
But 1:1 backing should not be confused with directly holding Ōura common stock.
Payward’s disclosures describe xStocks as tokenized debt securities. In the European Economic Area, IPO xStocks provide price exposure rather than direct ownership of the referenced shares and carry no voting or dividend rights. They are issued by Backed Assets (JE) Limited under an EU-registered prospectus.
READ MORE: Bitget’s Hack Forces THORChain to Confront Transaction Filtering
The structure therefore separates two things conventional brokerage accounts usually put together:
- the underlying equity and the instrument held by the investor.
That distinction is central to understanding what Payward is actually bringing into the IPO market.
Ōura Makes This a Large Test
Ōura gives the model significant scale.
At the top of its proposed range, the 50 million-share base offering represents $2.2 billion of stock. The company’s SEC filing also shows a rapidly expanding operating business.
For the nine months ended June 30, Ōura generated $1.215 billion in revenue, up from $697.6 million a year earlier, and reported $60.8 million in net income. Paid members reached 5 million, with the company expecting approximately 5.7 million by the end of fiscal 2026. SEC
That gives Payward something more meaningful than a small tokenization pilot: a chance to test whether international demand can be aggregated into an institutional allocation during a multibillion-dollar U.S. IPO.
A U.S. IPO With Tokenized Access Outside the U.S.
There is also an unusual geographic split.
xStocks are not available in the United States or to U.S. persons, nor are they offered through this program in the UK, Canada or Australia.
In the EEA, the service is provided through a Payward entity authorized by CySEC. Outside the EEA, eligible xStocks are offered through a Payward entity regulated by the Bermuda Monetary Authority.
Ōura is therefore preparing to become a U.S.-listed company while Payward builds a tokenized distribution channel aimed largely at investors outside the market where the underlying stock will list.
Tokenization Is Moving Earlier in a Stock’s Life
Payward says Ōura is the fourth company to enter its IPO Access pipeline this year, following SpaceX, Bending Spoons and Jersey Mike’s. The broader xStocks framework has expanded beyond 800 tokenized assets, with Payward reporting more than $40 billion in transaction volume and over 400,000 holders. Business Wire
Those numbers are company-reported, but the direction of the product is more important than its current scale.
The first generation of tokenized equities largely asked whether shares that already trade publicly could also circulate on blockchain infrastructure.
ŌURAx tests something different: whether blockchain-based distribution can become part of the process before a newly public company’s shares have even completed their first day of trading.
That puts tokenization closer to the primary market itself, and to one of its most closely controlled functions: who gets access to a new listing at the IPO price.
The information presented in this article is intended for informational purposes only and should not be interpreted as financial, investment, or trading advice. Coinspress.com does not promote or advocate for any particular investment strategy, asset, or cryptocurrency project. Cryptocurrency markets are highly volatile and unpredictable – always perform your own research and seek guidance from a qualified financial professional before making any investment decisions.
Alexander Zdravkov
Reporter at CoinsPress
Alexander Zdravkov is a market analyst and crypto journalist with interests in economics, broader financial markets and digital assets. His journey into crypto began more than four years ago, driven by a fascination with the rapid evolution of blockchain technology and the transformative potential of decentralized finance. He began analyzing market cycles and identifying emerging trends before they reach the mainstream. He holds a degree in International Relations - a background that helped shape his broader perspective on global economics, geopolitics, and the interconnected nature of modern financial markets. Whether covering the latest developments in the crypto sector or exploring broader macroeconomic themes, Alexander focuses on giving readers context rather than simply repeating headlines. During his career, he has authored more than 10,000 articles covering cryptocurrencies, traditional finance, and global market developments. His work spans everything from Bitcoin and altcoins to macroeconomic trends influencing risk assets worldwide.
