Exploring Tokenized AI Stocks: A Guide for On-Chain Investors

Artificial intelligence is rapidly transforming industries worldwide, creating significant interest from investors seeking exposure to this technological revolution. However, traditional financial systems often present barriers that limit global access to leading US-listed AI companies. Tokenized stocks offer a novel solution, providing a permissionless path to gain economic exposure to these innovative companies directly on-chain. To understand more about the underlying mechanics, you can explore our guide to tokenized stocks.

GM Markets facilitates this access, enabling self-custodial trading of tokenized US-listed stocks and ETFs. We connect global investors to the potential of AI innovation, allowing participation from outside traditional financial systems. It is important to note that we do not offer services to users in the United States or other restricted jurisdictions. This post provides information for educational purposes only, and it is not financial advice. All trading involves risk, and you may lose money.

What Are Tokenized AI Stocks?

Tokenized AI stocks are on-chain tokens that represent economic exposure to real-world, US-listed shares of artificial intelligence companies. These digital assets are designed to bridge the gap between traditional equity markets and the decentralized finance (DeFi) ecosystem.

• 1:1 Backing: Each token issued on our platform is fully backed 1:1 by a real share held in a segregated customer account at a regulated broker-dealer, such as Interactive Brokers or Alpaca Markets. This ensures that the value of your tokenized asset directly tracks its underlying counterpart.
• ERC-20 Standard: Our tokens are standard ERC-20 assets, which means they are highly composable. This allows them to be seamlessly integrated and utilized within various DeFi protocols.
• Economic Exposure: Token holders gain economic exposure to the underlying company's performance, benefiting from price movements and dividends. Dividends are automatically reinvested into the token's on-chain Net Asset Value (NAV), increasing the token's value rather than being paid out separately. While you track the economic value, tokenized stock holders generally do not possess direct voting rights associated with traditional share ownership.
• Transparency: Our commitment to transparency is upheld through independent, real-time attestation of reserves by Accountable, a third-party proof-of-reserves provider. You can verify the live backing ratio and asset details on our Proof of Reserves page.

The US Securities and Exchange Commission (SEC) has clarified that tokenized securities are subject to federal securities laws, with their legal status determined by their economic substance and legal rights, not solely their format as a crypto asset. Our tokenized assets are structured to provide economic exposure while adhering to these regulatory considerations, aligning with the SEC's emphasis on the underlying nature of an instrument. The SEC has issued guidance on the application of federal securities laws to digital assets, underscoring that innovation does not alter existing legal frameworks.

The Appeal of Tokenized AI Stocks for Global Investors

The tokenization of AI stocks on GM Markets offers several compelling advantages for investors looking to access the burgeoning AI sector from around the globe.

• Permissionless Access: We provide permissionless onboarding. You can connect and trade directly from an external wallet, Google, or an email magic-link, bypassing the complexities and geographical restrictions often associated with opening traditional brokerage accounts.
• Fractional Ownership: Our platform supports fractional ownership down to six decimal places, enabling you to invest in high-value AI stocks from as little as $1. This lowers the capital barrier and allows for diversified exposure across multiple AI leaders.
• Global Reach: Access US-listed AI companies regardless of your location, from outside the United States or other restricted jurisdictions that traditional financial systems might exclude.
• DeFi Composability: A central advantage of tokenized assets is their utility within the broader DeFi ecosystem. You can use your tokenized AI stocks as collateral, lend them, borrow against them, or provide liquidity across various DeFi protocols like Aave, Morpho, Uniswap, Curve, and CoW Swap.
• On-Chain Settlement: Trades settle quickly and transparently on leading blockchain networks including Base, Arbitrum, Ethereum, and Optimism. This atomic settlement reduces counterparty risk compared to traditional T+1 settlement cycles.

Key Considerations for Evaluating AI Stocks

Evaluating AI stocks requires a nuanced approach, given the sector's rapid evolution and high growth potential. We do not provide financial advice or recommendations on specific assets. The following considerations are for educational purposes to help you form your own investment thesis.

• Market Position and Innovation: Assess companies based on their leadership in AI research, development, and application. Look for those driving significant advancements in generative and agentic AI, which are transitioning from pilot projects to scaled deployment. NVIDIA, for instance, remains central, with its GPUs forming the foundation of the AI hardware ecosystem. NVIDIA CEO Jensen Huang has projected a revenue opportunity of at least $1 trillion through 2027 from the company's Blackwell and Rubin AI chips. External analyst forecasts for NVIDIA's overall FY2027 revenue are also robust, driven by anticipated orders for these advanced chips. Reports from financial news outlets confirm these projections, highlighting the significant market expectations for NVIDIA's future performance.
• Financial Health and Growth Potential: Examine revenue growth, profitability, and significant Research and Development (R&D) investment. High-growth tech companies often prioritize long-term profit over immediate earnings, making metrics like Enterprise Value/Sales/Growth (EV/S/G) particularly useful. For 2026, analysts and research firms project significant growth in the technology sector. Forecasts for the S&P 500 indicate substantial earnings acceleration, with some estimates suggesting a 24% annual growth in earnings per share, partly driven by AI investments. Goldman Sachs Research has projected strong S&P 500 earnings for 2026, with AI beneficiaries contributing significantly. Valuation multiples for the technology sector, such as EV/EBITDA and sales multiples, reflect this growth potential, with various reports indicating strong figures for 2026. For example, CSIMarket data on technology sector valuation and Siblis Research on Information Technology multiples provide insights into these trends.
• Competitive Landscape: Understand the competitive advantages and challenges within the rapidly evolving AI sector. Companies like Microsoft, Alphabet, and Amazon are deeply integrating AI across their cloud services and products, while others like Palantir specialize in AI-powered data analytics.
• Use Cases and Adoption: Evaluate the real-world impact and adoption of a company's AI technologies. The global AI market is projected to reach USD 3,497.3 billion by 2033, growing at a compound annual growth rate (CAGR) of 30.6% from 2026 to 2033, according to Grand View Research. This rapid expansion is driven by the operationalization of AI across various business functions and significant enterprise adoption of generative and agentic AI.
• Diversification: Consider a balanced approach across different AI sub-sectors. These can include semiconductors (NVIDIA, AMD, Broadcom), software and cloud services (Microsoft, Alphabet, Amazon, ServiceNow), and robotics (Tesla, Intuitive Surgical). Morgan Stanley Research estimates that nearly $3 trillion in AI-related infrastructure investment will flow through the global economy by 2028, underscoring the broad and pervasive impact of AI across sectors.

This information is for educational purposes only and is not a recommendation to buy, sell, or hold any specific asset. Always conduct your own due diligence.

How GM Markets Connects You to AI Innovation

Our platform is built to provide a seamless and secure experience for trading tokenized US-listed stocks, including those at the forefront of AI. We prioritize transparency, security, and user control.

• Secure Onboarding: Your embedded wallet is powered by Privy's Multi-Party Computation (MPC) technology. This means no single party, including GM Markets, holds the full private key, enhancing security. Authentication is secured by biometric data or passkey.
• Transparent Pricing: We operate with a single, clear trading fee of 10 to 20 basis points (0.10% to 0.20%). The default is 20 bps, which scales down to 10 bps at our top VIP tier as your 14-day trading volume grows. This fee is included in the quoted price, so the "You will receive" line is final. We do not charge custody, inactivity, dividend, or FX markup fees. You can review our full fee structure on our Pricing page.
• Gas Abstraction: We abstract away the complexities of blockchain gas fees. You can trade without needing to hold native chain tokens; gas fees are paid by your smart account and billed in USDF from your balance.
• RFQ Execution: Trades are executed via a Request-For-Quote (RFQ) system. Regulated market-making partners quote against the live underlying market, ensuring competitive pricing and efficient execution.
• Total-Return NAV: Our total-return model simplifies economic tracking for tokenized assets. Dividends and corporate actions, such as stock splits or mergers, are absorbed into the token's on-chain NAV, reflecting the full economic value without separate cash payouts.
• Continuity: In the event GM Markets discontinues operations, a designated security agent has the authority to work with our custodians to redeem outstanding tokens against the underlying shares. This redemption path is enforced by the on-chain contract, independent of our operational status. You can learn more about our security measures on our Security page.

Understanding the Risks of Investing in AI Stocks

Investing in any market, especially a rapidly evolving sector like AI, carries inherent risks. It is crucial to understand these before making any investment decisions.

• Market Volatility: AI stocks, particularly those of growth companies, can experience significant price fluctuations due to rapid innovation cycles, market sentiment, and speculative interest. Concerns about an "AI stock bubble" persist, with valuations potentially stretched, requiring aggressive future earnings growth to justify current prices.
• Technological Risk: The pace of innovation in AI is extremely fast. New technologies can emerge quickly, potentially rendering existing solutions obsolete and impacting company valuations.
• Regulatory Risk: The regulatory landscape for AI is still evolving globally. New regulations or policy changes could affect AI companies' operations, market access, or business models. The U.S.-China competition in chips and compute, for example, highlights the strategic importance of secure domestic infrastructure.
• Tokenization-Specific Risks: Tokenized assets introduce unique risks, including smart contract risk (vulnerabilities in the underlying code), custody risk (reliance on the custodian holding the real shares), and counterparty risk (reliance on the issuer or market makers). While we implement robust security measures and independent attestations, these risks are inherent to the tokenized asset class.

Always understand that markets can move against you, and you may lose money. We do not provide financial, investment, tax, or legal advice. We encourage you to review our full risk disclosure on our Legal page.

Frequently Asked Questions

What US-listed AI stocks are available on GM Markets?

GM Markets offers several tokenized stocks directly involved in the artificial intelligence sector. These include NVIDIA (NVDA), Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), Advanced Micro Devices (AMD), Apple (AAPL), Tesla (TSLA), Taiwan Semiconductor Manufacturing Company (TSM), and Meta Platforms (META).

How are dividends handled for tokenized AI stocks?

Dividends for tokenized AI stocks on GM Markets are handled through a total-return model. Instead of a separate cash payout, the dividend value is used to buy more of the underlying shares, which in turn raises the token's on-chain Net Asset Value (NAV). This means you see the dividend value reflected in the token's price, simplifying economic tracking.

Is there a minimum investment for tokenized AI stocks?

Yes, you can invest in tokenized AI stocks with as little as $1 on GM Markets. Our platform supports fractional ownership, allowing you to gain exposure to high-value stocks in highly divisible units.

How does GM Markets ensure the security of my tokenized assets?

We ensure security through several layers: 1:1 backing of each token by a real share in a segregated customer account at regulated broker-dealers, independent real-time on-chain attestation of reserves by Accountable, and embedded wallets secured by Privy's MPC technology with biometric or passkey authentication. You maintain self-custody of your tokens.

Can I use tokenized AI stocks as collateral in DeFi?

Yes, a key advantage of our ERC-20 tokenized stocks is their composability within DeFi. You can use your tokenized AI stocks as collateral, lend them, borrow against them, or provide liquidity across various decentralized finance protocols.

Conclusion: Accessing the Future of AI with GM Markets

Tokenized AI stocks offer a powerful, permissionless way for global investors to gain economic exposure to the AI revolution, a market projected to reach USD 3,497.3 billion by 2033. The sheer scale of capital flowing into AI infrastructure, estimated at nearly $3 trillion through 2028, underscores its transformative potential.

GM Markets provides a secure, transparent, and composable platform for trading these innovative assets, connecting you directly to the companies driving AI innovation. We encourage you to explore our platform and learn more about how tokenized stocks work and how they can fit into your investment strategy.

We do not serve users in the United States or other restricted jurisdictions. All trading involves risk, and past performance is not indicative of future results. Always consider your personal financial situation and consult with a qualified professional before making any investment decisions.

Sources

• grandviewresearch.com
• marketsandmarkets.com
• rootsanalysis.com
• morganstanley.com
• nvidia.com
• technologychecker.io
• statworx.com
• pwc.com
• intellectia.ai
• intellectia.ai