NVIDIA xStockPrice

(NVDAX)

NVDAX is a digital token available on the Ethereum (ERC-20) and Solana (SPL) blockchains. It functions as a tracker certificate, meticulously mirroring the price movements of NVIDIA Corporation stock on a 1:1 basis. It's crucial to understand that NVDAX is not traditional stock in a legal sense, but rather a blockchain-native certificate designed to provide crypto investors with exposure to NVIDIA's performance within the Web3 ecosystem. It bridges traditional finance with decentralized applications.

No, holding NVDAX does not confer direct legal ownership of NVIDIA Corporation. While the token is designed to track the underlying stock's price, including its "all-in" value, it does not grant token holders traditional shareholder rights such as voting rights. Similarly, direct dividends are typically not passed on to NVDAX token holders. It serves as a price-tracking certificate rather than a claim to direct equity ownership or its associated privileges.

Yes, each NVDAX token is fully collateralized on a 1:1 basis by actual NVIDIA common stock. These underlying shares are held in regulated custody by reputable third-party institutions, such as licensed banks. The primary issuer, Backed Assets (JE) Limited, is responsible for this backing and the token's issuance. NVDAX is generally structured as a "tracker certificate" under specific regulatory jurisdictions, like Switzerland or Jersey, ensuring its compliance and suitability for crypto-native participants, while maintaining robust backing for investor confidence.

Trading NVDAX offers several distinct advantages over traditional NVIDIA stock. Firstly, it provides 24/7 trading availability on various crypto exchanges, unlike the limited hours of traditional stock markets. Secondly, NVDAX enables fractional ownership, allowing investors to purchase small amounts without needing to buy a full, potentially expensive share. Thirdly, it removes the need for a traditional stockbroker, enabling trading directly from a crypto wallet. Furthermore, NVDAX can be seamlessly integrated into decentralized finance (DeFi) protocols, serving as collateral for loans or contributing to liquidity pools for potential yield generation, expanding its utility beyond simple price exposure.

NVDAX is readily available on several major cryptocurrency exchanges, including LBank, and can also be found on decentralized exchanges (DEXs) operating on the Solana and Ethereum blockchains. This wide accessibility makes it easy for crypto investors to acquire the token. Additionally, yes, you can absolutely withdraw NVDAX to your personal cryptocurrency wallet. Since it adheres to standard ERC-20 (Ethereum) or SPL (Solana) token protocols, it can be securely transferred and stored in hardware wallets or any self-hosted digital wallet for long-term safekeeping and full control.

The price of NVDAX is meticulously maintained to stay pegged 1:1 with the underlying NVIDIA stock primarily through an arbitrage mechanism. This process involves institutional traders who actively monitor any price discrepancies between the NVDAX token on crypto exchanges and the NVIDIA stock price on traditional markets like NASDAQ. Should a deviation occur, these traders can either mint new NVDAX tokens by purchasing the underlying shares, or redeem existing NVDAX tokens for the underlying shares with the issuer. This action of buying low and selling high quickly corrects any price imbalances, ensuring the peg is consistently realigned.