Coinbase (COIN) Surges 16.32% on Planned Stock Trading Adoption

We recently published a list of These 10 Stocks Boast Double-Digit Gains Amid Boring Market. Coinbase Global, Inc. (NASDAQ:COIN) is one of the best-performing stocks on Thursday.

Coinbase Global jumped by 16.32 percent on Wednesday to close at $295.29 apiece as investors snapped up shares following plans to offer tokenized equities to its customers.

Coinbase Global, Inc. (NASDAQ:COIN) sought the approval of the Securities and Exchange Commission for the initiative, which would allow it to offer stock trading through its blockchain technology.

If approved, Coinbase Global, Inc. (NASDAQ:COIN) would directly compete with retail brokerage companies namely Robinhood Markets and Charles Schwab.

According to Coinbase Global, Inc. (NASDAQ:COIN) Chief Legal Officer, Paul Grewal, the new initiative is “a huge priority” for the company, enabling it to diversify beyond cryptocurrencies.

Coinbase (COIN) Surges 16.32% on Planned Stock Trading Adoption

A shot of someone securely accepting crypto assets as payment, showcasing the company’s payment solutions.

Tokenizing equities is a process in which shares of a company are converted into a digital token, similar to how cryptocurrencies are traded. Instead of holding the securities directly, investors hold tokens that represent ownership of the securities.

While we acknowledge the potential of COIN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.