Binance API changes point to stock trading expansion
Binance has quietly updated its API documentation, and the changes look pretty telling. They’ve added three new endpoints that seem to be laying groundwork for stock trading features. One endpoint specifically mentions “TradFi-Perps agreement contract” in its URL structure, which is the kind of language you’d expect around traditional finance perpetual futures.
I think this matters because Binance tried tokenized stocks back in 2021, but that effort didn’t last long. They launched in April and pulled back by July after regulators started paying attention. Now they appear to be trying again, but perhaps with a different approach.
The other two endpoints they added deal with trading session schedules – one for checking schedules over a week, another for current session info. This is interesting because it suggests they’re planning trading sessions rather than the 24/7 model crypto exchanges typically use. That makes sense if they’re dealing with traditional stock market hours.
Tokenized stocks gaining mainstream traction
Binance isn’t alone in this space. Actually, tokenized stocks seem to be having a moment. Coinbase is reportedly days away from announcing its own tokenized stock offering. Ondo just got approval in Liechtenstein to offer tokenized stocks in Europe. Even Robinhood has tokenized nearly 500 US stocks and ETFs on Arbitrum for European users.
But here’s where things get complicated. Not everyone’s thrilled about how this is developing. Market maker Citadel Securities recently caused a stir by asking the SEC to tighten regulations on tokenized stock trading on DeFi platforms. They argue that DeFi developers and smart contract coders shouldn’t get special exemptions just because they’re using blockchain technology.
Citadel’s position is that if you’re offering trading of tokenized US equities, you’re probably operating as an exchange or broker-dealer under securities law. They worry about creating two different regulatory systems for what’s essentially the same security.
Traditional finance players taking different approaches
What’s fascinating is how traditional finance institutions are responding. Some are pushing for stricter regulation, while others seem to be embracing the technology. Nasdaq, for instance, is making SEC approval for tokenized versions of its listed stocks a top priority.
The SEC itself appears to be warming up to the idea. Chair Paul Atkins recently called tokenization an “innovation” the agency should advance rather than restrict. Just last Thursday, the SEC issued a “no-action” letter to a DTCC subsidiary that specializes in tokenizing securities, which suggests they’re willing to let companies experiment in this space.
But there’s still tension. The World Federation of Exchanges says tokenization is probably a natural evolution for capital markets and they’re “pro-innovation,” but they want it done responsibly. They’re concerned about investor protection and market integrity.
The practical implications
If Binance does launch stock perpetual futures, it could change how retail investors access global markets. Perpetual futures are popular in crypto because they don’t have expiration dates, and combining that with traditional stocks might appeal to traders who want exposure without dealing with traditional brokerage accounts.
However, the regulatory landscape is still forming. Different countries have different rules about who can trade what, and stock tokenization sits in a gray area between traditional securities regulation and crypto innovation.
I’m curious to see how Binance handles the trading sessions aspect. Will they follow New York Stock Exchange hours? Will they offer after-hours trading? The API endpoints suggest they’re thinking about structured sessions, which is a departure from crypto’s always-on mentality.
What’s clear is that tokenized assets are moving from experimental projects to serious business considerations. Whether Binance’s attempt succeeds this time might depend as much on regulatory developments as on technical execution.
