Recently, we have witnessed an interesting market phenomenon: the performance of U.S. stocks, represented by Nvidia, has even surpassed Bitcoin. This stands in stark contrast to the frenzy of the crypto assets market in 2020. At that time, a large number of emerging tokens reached their price peaks upon listing, whereas now we are seeing a more mature market.

The bull market of 2020, although filled with speculation, also laid an important infrastructure for the development of Web3, especially in the field of decentralized finance (DeFi). Now, a project called Stable Stock is attempting to combine these DeFi infrastructures with the traditional stock market to create a new financial model.

The concept of on-chain brokers is emerging, with the potential to bring the traditional stock market, valued at trillions of dollars, into the DeFi ecosystem. This innovation is particularly attractive to investors in emerging markets such as Vietnam, Indonesia, and the Philippines, providing them with opportunities for global investment. Traditional online brokers like Futu have a market capitalization of approximately $25 billion, while on-chain brokers, due to their broader user base and greater market potential, may achieve even higher valuations.

When the composability of on-chain stocks is combined with DeFi, its applications go far beyond simple trading. This potential has attracted the attention and investment of many financial giants. However, many products currently on the market still face issues such as insufficient liquidity or lack of funding transparency.

Although the concept of digital stock trading emerged as early as 2021, it faced numerous regulatory challenges at that time. Today, with the gradual easing of the regulatory environment and the strengthening of the stablecoin narrative, this field has welcomed new opportunities. Trading US stocks with stablecoins not only attracts global capital but also aligns with the strategy of the United States to maintain its financial hegemony.

The development of on-chain brokers represents the deep integration of blockchain technology with traditional financial markets, providing global investors with more diversified and convenient investment channels. With advancements in technology and improvements in the regulatory environment, we may witness the emergence of a more open and efficient global financial market.