What is the difference between tokenized stocks and synthetic stocks on Allo?

BoVP...7sqc
12 Sept 2025
16

Clarity matters. Allo distinguishes synthetic vs tokenized stocks. Tokenized stocks represent claims on real equity through legal wrappers; synthetic stocks are derivative exposures tracking price without ownership rights. Allo clearly labels each category, publishes disclosures, and explains cash flow and voting rights.
With tokenized shares, Allo documents custody, dividend handling, and corporate actions. With synthetics, Allo details counterparty risk and collateralization. Educational content compares tokenized stocks vs traditional stocks and clarifies what is synthetic stock trading? so investors choose appropriately. Allo recommends aligning product choice with objectives: income and rights vs pure price exposure.
With tokenized shares, Allo documents custody, dividend handling, and corporate actions. With synthetics, Allo details counterparty risk and collateralization. Educational content compares tokenized stocks vs traditional stocks and clarifies what is synthetic stock trading? so investors choose appropriately. Allo recommends aligning product choice with objectives: income and rights vs pure price exposure.
For full product distinctions, see the guides inside Allo and visit allo.xyz

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