Binance Research projects crypto users could funnel $5T into equity markets by 2031

A new report argues crypto exchanges are becoming the default brokerage for emerging markets, with stablecoin rails and fractional trading replacing traditional gatekeepers.

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Add us on Google by Editorial Team Jun. 5, 2026

Crypto exchanges aren’t just competing with each other anymore. They’re coming for Schwab, Fidelity, and every traditional brokerage that ever asked someone to fill out a 12-page form to buy a single share of Apple.

Binance Research released a report titled “Equity Layer: From Tokens to Tickers” projecting that crypto exchanges could channel up to $5 trillion annually in new equity capital into global stock markets over the next five years. The base case is slightly more conservative but still enormous: $2 trillion in incremental equity capital by 2031, alongside roughly 300 million new investors entering the market, primarily from emerging economies.

The emerging market thesis

Binance’s data underscores just how lopsided the current landscape is. According to the report, 93% of the exchange’s stock trading user base comes from emerging markets. That’s not a rounding error. That’s the entire thesis in a single number.

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The report frames crypto exchanges as a distribution layer that solves these friction points through stablecoin settlements, 24/7 trading windows, and fractional share access. Binance has already moved to capitalize on this. The exchange now offers commission-free trading of over 7,000 US stocks and ETFs for non-US customers, with minimum purchases starting at just $5.

Stablecoins as the settlement backbone

The Binance Research report estimates that stablecoin settlements could reduce average transaction costs by 3.6%, translating to roughly $40 in savings per transaction on cross-border off-ramps.

For context, that $40 might not move the needle for a day trader in Connecticut executing $50K block orders. But for a retail investor in Southeast Asia buying $200 worth of stock, that’s a 20% haircut eliminated.

What this means for investors

The $5 trillion bull case and even the $2 trillion base case require some conditions to hold true. Regulatory frameworks across dozens of jurisdictions need to either permit or at least not actively block crypto exchanges from offering equity products. Several major markets still treat crypto platforms with suspicion, and adding stock trading to their feature set could invite fresh scrutiny from securities regulators.

There’s also the question of trust. The collapse of FTX in 2022 is still recent memory for most retail investors. Convincing 300 million new users to park their equity holdings on a crypto exchange requires demonstrating custody standards that rival or exceed what traditional brokerages offer.

The tokenization narrative has been building across the industry for years. What Binance is describing isn’t quite tokenization in the purest sense. It’s more like using crypto infrastructure to distribute access to conventional securities. Binance Research maintains that the focus remains on the exchange’s direct role in facilitating these advancements, rather than associating with any specific protocols or tokens.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.