Tokenized Stocks Could Accelerate Global Crypto Tax Overhaul

As platforms like Robinhood and Gemini introduce tokenized stocks in the EU, global crypto tax frameworks face a reckoning. These blockchain-based assets replicate real equities such as Apple and Tesla, offering users 24/7 trading beyond traditional market hours. While this marks a leap in accessibility and innovation, it exposes glaring gaps in tax reporting regulations.

Unlike traditional stock brokers, which provide detailed, structured data to tax authorities, crypto exchanges operate in a fragmented regulatory landscape. For instance, Australia’s ASX pre-fills tax data for users, but the ATO only sends crypto investors a vague reminder to report taxable events — despite exchanges confirming account activity.

Such a passive approach might have been acceptable when crypto was mostly speculative. But with tokenized equities gaining momentum, regulators can no longer ignore the tax reporting shortfall. Industry experts suggest these new products could divert liquidity from traditional exchanges, intensifying scrutiny.

The U.S. is already responding. The IRS will implement Form 1099-DA in 2026, requiring crypto brokers to report user transactions like traditional institutions. Globally, the OECD’s Crypto-Asset Reporting Framework (CARF) will also kick in by 2026, mandating cross-border data sharing akin to existing banking standards.

Robinhood’s plans to expand tokenized stock offerings to U.S. users raise the question: will this align with the upcoming IRS rules? If tokenized stocks behave like real equities, tax transparency must follow suit.

The regulatory gray zone for crypto is rapidly fading. Governments can’t afford to lose tax revenue to on-chain financial innovation. As tokenized equities grow, they may be the tipping point that forces global tax systems to modernize. Expect full tax transparency to become the norm within five years.