Tokenisation: “the next generation for markets”

Mainstream finance’s tokenisation frenzy

According to Forbes, Wells Fargo [WFC] plans to offer tokenised deposits to corporate and commercial clients this autumn, joining JPMorgan [JPM] and Citigroup [C] in developing blockchain-based payment services. JPMorgan’s Kinexys network already processes more than $7bn a day, while the Depository Trust & Clearing Corporation plans to launch tokenised securities services in October. BlackRock [BLK] has recently introduced two tokenised money market products, with CEO Larry Fink calling tokenisation “the next generation for markets.”

Digital metals

Mining and tech companies are developing blockchain tokens linked to metals including gold, copper and uranium, the Financial Times reported, noting that “the flurry of interest in tokenising metals is the latest attempt to bring the fervour of crypto traders into a new asset class”. The projects aim to give retail investors easier access to physical metals while potentially providing miners with a new source of funding. UK regulators are working on a framework for digital gold.

SEC set to open the door to 24/7 token trading

The regulator is expected to introduce two major initiatives in the coming days that could further accelerate the US crypto industry as the CLARITY bill stalls in Congress. It will hold an open meeting on Friday to establish a tailored regime for certain investment contracts involving crypto assets, according to Bloomberg, while its planned “innovation exemption” for tokenised securities could pave the way for 24/7 trading of stock tokens on blockchains. 

Is Lumentum’s Q4 beat enough to wow investors?

Lumentum [LITE] posted blowout Q4 results, with revenue up 109.3% year-on-year and raised Q1 guidance – but a GAAP net loss tied to a one-time non-cash charge, and capacity constraints amid soaring artificial intelligence-driven (AI) optics demand, complicate the picture. In the wake of earnings, Aureon weighs the challenges and opportunities ahead for Lumentum.

Will Anthropic outdo SpaceX?

Early backers of Anthropic foresee it floating a $2tn valuation in October, more than double its current valuation, the Financial Times reported on Thursday, outstripping SpaceX’s [SPCX] $1.77tn debut in June. Bulls expect the Claude maker’s annualised revenue to reach $100bn-120bn this year, marking a 10-fold rise y/y. Anthropic executives have yet to fix an official valuation target, though the firm filed paperwork with the SEC in June. 

Chips > clicks

Newly public chipmaker CXMT [688825:SS] has leapfrogged Tencent [TCEHY] to become China’s most valuable company. The world’s fourth-largest producer of DRAM, CXMT’s market cap has surged 467% following its July IPO to $542bn, versus Tencent’s $510bn, down 26% in the year to date. The move “is a message from the market – chips are the new clicks,” Gary Tan, a portfolio manager at Allspring Global Investments, told Bloomberg. “Our sense is the gap between the two will widen as agentic AI take increasing share of internet flows.”

Three stocks leading the digitisation of the physical economy

PTC [PTC], Autodesk [ADSK] and Hexagon [HXGBF] offer investors three distinct routes into the fast-growing digital engineering market, where AI is accelerating the shift towards software-driven design, manufacturing and maintenance. Aureon weighs PTC’s recurring-revenue strength, Autodesk’s pending MaintainX acquisition, and Hexagon’s unique blend of software and industrial hardware.