Ledger and Payward Partner to Let Investors Store Tokenized Stocks Offline

Investors can now purchase tokenized versions of popular stocks and store them offline on a secure physical device, thanks to a new partnership between hardware wallet maker Ledger and Payward, the parent company of cryptocurrency exchange Kraken. The arrangement, announced Thursday, brings the concept of «cold storage» — long a staple of the crypto world — to the stock market for the first time.

Cold storage allows users to keep digital assets on a physical device that is not connected to the internet, making them highly resistant to hacking. Until now, this option did not exist for stocks, except for paper certificates, which remain available but require a complicated request process and steep fees. The new integration means that investors who buy tokenized stocks through Payward's platform, xStocks, can require a signature on their Ledger device as a final security measure before completing a transaction. Conversely, Ledger devices — which already offer a trading platform — will now include an xStocks integration.

According to Sebastien Badault, a Ledger executive leading the partnership, the company believes the growing popularity of tokenized stocks will make cold storage appealing to two groups: Ledger's approximately 8 million customers, who prefer self-custody over relying on third parties, and more traditional stock buyers who may be uneasy about the rising threat of hackers in the age of AI and quantum computing. Tokenized stocks, which gained traction last year and recently received an «innovation exemption» from the SEC, still represent a tiny fraction of the broader stock market, but the trend is gaining momentum.

For now, Ledger devices — including its flagship Stax model developed by former Apple designer Tony Fadell — will only integrate with Payward's version of tokenized stocks. Badault noted that the company is in talks with other firms, including Coinbase, Binance, and Robinhood, that have rolled out their own tokenized stock offerings in recent months. The partnership reflects a broader convergence between crypto and traditional assets, as well as a push toward self-custody solutions.

In a statement, Payward's co-CEO David Ripley said, «By partnering with Ledger, we're building where the industry is heading: a future where secure self-custody and global financial infrastructure work hand in hand to provide powerful and seamless trading experiences.» The move comes amid a debate over whether self-custody is viable even for crypto enthusiasts, following a recent security incident involving a lesser-known hardware wallet maker. Badault, however, argues that Ledger's user-friendly design and the broader push toward tokenization will lead more individuals and institutions to embrace storing assets of all sorts on secure offline devices in the coming years.

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Derek Weston

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Derek Weston covers public affairs, politics, business, culture and daily news for Core Memo. The role focuses on verification, context, and clear explanations for readers.

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