Luno, the UK-based cryptocurrency firm, has officially launched tokenised US stocks in Nigeria. This comes one month after introducing the product in South Africa, where it has already attracted 10,000 users.
According to the team, starting September 8, Nigerian users can invest in 60 tokenised US stocks and exchange-traded funds (ETFs) for as little as ₦100 ($0.07).
The move signals Luno’s ambition to expand digital asset adoption across Africa, amid evolving regulatory frameworks.
“Nigerians have shown that when an innovation makes financial life easier and safer, they will overcome initial scepticism and adopt it,” said Ayotunde Alabi, CEO of Luno Nigeria.
What You Should Know
The initiative is made possible through a partnership with xStocks by Kraken, the tokenisation platform of the global crypto firm Kraken, and Backed Finance, a US-based company that issues tokenised real-world assets (RWAs).
This launch also follows Luno Nigeria’s July rollout of a staking product, allowing users to earn yields on their cryptocurrency holdings, further diversifying the startup’s offerings for retail investors.
Luno’s entry into tokenised equities puts it in direct competition with platforms like Bamboo, Chaka, Rise, and Trove, which have already popularised fractional US stock investing in Nigeria.
However, Luno says it is leveraging its crypto-native infrastructure to offer a potentially cheaper, more flexible way to hold global assets.
Understanding Tokenised Stocks
Tokenised US stocks are digital representations of real shares in companies like Apple, Nvidia, and Microsoft, held in regulated custodial reserves on a 1:1 basis. When users buy these tokens, they track the performance of actual securities.
“Tokenised stocks address a real need by letting people invest in top global companies easily, something previously out of reach due to high costs and complex procedures. If we demonstrate that this product is safe and valuable, Nigerians will use it,” said Ayotunde Alabi.
Unlike traditional equities, however, token holders do not receive shareholder rights, such as voting privileges or dividends. The tokens exist outside conventional capital market protections, but appeal to retail investors due to their 24/7 accessibility, smaller denominations, and instant liquidity.
What This Means
Luno’s model is backed by crypto-native custody, linking each token directly to real shares via Kraken’s xStocks and Backed Finance. The fee structure is designed to appeal to retail users: Luno charges 2% per trade with no monthly management fees.
“Our tokenised stock offering has several compelling advantages,” Alabi said. “With tokenised stocks, investors aren’t limited to US market hours—they can trade 24/7, with instant settlement on the blockchain.”
“Customers also have the option to withdraw their stock tokens to a private wallet, something traditional platforms don’t offer. This portability and transparency give users more control, alongside lower and more straightforward fees.”
Beyond retail investors, Luno aims to attract asset managers controlling trillions of naira in investment funds. Alabi acknowledged that institutional adoption will require time, as managers assess compliance, risks, and market demand.
“Progressive asset managers see the potential; they see benefits in faster settlement, broader investor base, and operational efficiency,” he said. “I think Nigerian asset managers will warm up in time, especially if they see demand from clients.”
Understanding the Asset Tokenisation Market
Alabi positions Luno’s launch as part of a broader vision to build a comprehensive digital investment ecosystem in Nigeria. Tokenisation allows anyone with a few thousand naira to access global stocks, a feat previously impossible.
“Our end-goal is to build a comprehensive digital investment ecosystem that empowers every type of investor,” Alabi said. “Financial inclusion is a major priority; tokenisation enables someone with just a few thousand naira to gain exposure to global stocks, which was impossible before.”
The global asset tokenisation market is experiencing significant expansion. In 2025, the market size is projected to grow from $1.03 trillion in 2024 to $1.47 trillion, reflecting a compound annual growth rate (CAGR) of 43.7%.
This growth, according to analysts, underscores the interest in digital and tokenised assets in Nigeria and globally, highlighting the potential for platforms like Luno to tap into this expanding market.
Experts say the success of Luno will depend on whether Nigerians are convinced that tokenised assets are safe, transparent, and worth trusting, potentially laying the foundation for a new era of digital wealth management in Africa.
Talking Points
It is impressive that Luno allows Nigerians to invest in US stocks and ETFs with as little as ₦100, addressing a major barrier many everyday investors face, which is the high cost and complexity of accessing global markets.
This feature alone positions tokenised stocks as a practical solution for people who previously couldn’t participate in international investing.
At Techparley, we see how tools like this can expand financial inclusion beyond major urban centres, giving more Nigerians the chance to grow wealth through global assets.
The combination of crypto custody, instant settlement, and 24/7 trading means investors can manage their portfolios more flexibly and transparently than on traditional platforms.
However, there is still work to do to build trust and awareness. Adoption will depend on education, understanding the risks, and regulatory clarity. As Luno scales, there is an opportunity to strengthen uptake through partnerships with regulators, fintech firms, and asset managers.
