For most Nigerians, buying shares in Apple, Amazon, or Tesla meant navigating complex currency controls, waiting days for settlement, and needing thousands of naira just to get started. Even trading domestic stocks could be slow, with orders passing through brokers and settlement taking days. Investing at scale was largely reserved for professionals and institutions.
Luno is changing that. Through tokenised stocks, Nigerians can invest in more than 60 US companies and ETFs directly from their phones. Fractional ownership lets you start with small amounts, think N1,000 or N2,000, while transactions settle instantly, 24/7. No brokers, no long waits, no trading limited to market hours. Luno is putting global markets within reach for everyone.
Tokenised stocks are digital representations of traditional company shares that exist on a blockchain, allowing investors to buy, sell, and hold them much like cryptocurrency. Each token mirrors the value of a real-world stock, meaning its price moves in line with the underlying share, but because it is tokenised, investors can purchase fractional amounts, trade 24/7, and settle transactions almost instantly. This removes traditional barriers like high minimum investment amounts, delayed settlement, and limited trading hours, making global equity markets more accessible to retail investors. Essentially, tokenised stocks combine the ownership and value of traditional equities with the speed, flexibility, and inclusivity of digital assets.
Globally, demand for stocks has grown rapidly. Research from the JPMorgan Chase Institute shows that individuals under 40 are transferring funds to investment accounts at more than triple the rate of a decade
ago. In the US, direct stock ownership rose from 15% of families in 2019 to 21% in 2022, the largest increase on record. That trend is at odds with investing habits in Nigeria.
In October, Dr Emomotimi Agama, the Director-General of the Securities and Exchange Commission (SEC) in Nigeria, raised concerns about the low level of participation by Nigerians in the capital market, noting that fewer than 4% of the country’s adult population are active investors. He also highlighted the discrepancy between high capital flows into crypto investments and the low level of investment into traditional investments like stocks.
What tokenisation does is remove traditional barriers. Before, investing internationally required large minimum amounts, slow settlement, and navigating foreign banks. With Luno, you can invest in a fraction of a share at any time, from anywhere. Blockchain technology, the backbone of tokenisation, automatically records and clears transactions without intermediaries. Major institutions like JP Morgan and BlackRock have started tokenising bonds and currencies, and stocks are the next frontier.
If cryptocurrency has sometimes been described as a technology in search of purpose, tokenised stocks offer a solution everyone can understand: opening access to global investing opportunities for anyone with a smartphone. Luno makes it simple, instant, and affordable.
This content is for informational purposes only and does not constitute financial, tax, legal, or investment advice. It is not a call to trade. For personalised guidance, please consult a qualified financial advisor before making any financial decisions.
