bNVDA is a tokenized security issued by Backed Finance AG on the Ethereum blockchain, backed 1:1 by NVIDIA Corp (NVDA) stock held by a licensed custodian. ISIN: CH1173294336. Issued under the Swiss DLT Act with EU prospectus approval, bNVDA was the first tokenized NVIDIA product, launching in June 2024 on the INX platform.
| Attribute | Detail |
|---|---|
| Token Standard | ERC-20 (Ethereum) |
| Issuer | Backed Finance AG, Zug, Switzerland |
| ISIN | CH1173294336 |
| Regulation | Swiss DLT Act, EU Prospectus |
| Backing | 1:1 NVDA stock, licensed custodian |
| Custody | Account control agreement, bankruptcy-remote |
| Total Asset Value | ~$30,000 (23 holders, per RWA.xyz) |
| Trading | 24/7 on-chain, INX, DEXs |
| Self-Custody | Any ERC-20 wallet (MetaMask, Ledger, etc.) |
| US Access | Not available to US persons |
When you purchase bNVDA, Backed Finance acquires the equivalent NVIDIA stock and holds it with a licensed custodian under an account control agreement. Token holders have the primary claim to the collateral value. The token price tracks NVDA's market price 1:1, verified through price feeds. Eligible token holders can redeem tokens for the market value of the underlying asset.
bNVDA (Ethereum) offers deeper DeFi composability through Ethereum's mature protocol ecosystem — Aave, Compound, Uniswap. However, NVDAx (Solana/xStocks) offers dramatically better liquidity ($123M market cap vs ~$30K), zero trading fees on Kraken, and $1 minimum investment. For most investors, NVDAx is the better starting point. bNVDA suits advanced DeFi users who need Ethereum-native composability.
Backed Finance is headquartered in Zug, Switzerland and was acquired by Kraken in December 2025. The company issues permissionless tokens tracking real-world assets including stocks, ETFs, and bonds. Products include bNVDA, bTSLA, bGOOGL, bMSFT, bCSPX, and tokenized treasury products. All tokens are issued under an approved EU prospectus and operate within the Swiss DLT Act framework.
See our Disclaimer. Not financial advice.
bNVDA is issued under the Swiss DLT Act, which became effective in 2021 and provides the most mature legal framework for tokenized securities globally. Under this framework, DLT securities are legally equivalent to traditional securities — they carry the same legal protections, transferability rights, and regulatory oversight as conventional financial instruments. This regulatory clarity distinguishes bNVDA from unregulated "synthetic" crypto products that merely track stock prices without genuine asset backing.
Additionally, bNVDA operates under an approved EU prospectus, enabling compliant distribution across European Economic Area member states. This dual regulatory framework — Swiss DLT Act for issuance and EU Prospectus Regulation for distribution — provides institutional-grade legal certainty that most tokenized products lack. The prospectus details Backed Finance's obligations, custodial arrangements, investor rights, and risk disclosures in compliance with European securities regulations.
The custodial structure uses an account control agreement — a legal mechanism that grants token holders primary claim to the underlying NVIDIA shares held by the licensed custodian. In a bankruptcy scenario, the underlying shares are ring-fenced from Backed Finance's general creditors, providing structural protection similar to segregated client accounts at traditional brokerages. However, this protection has not been tested in court, and legal outcomes in novel situations carry inherent uncertainty.
bNVDA's primary advantage over NVDAx is its Ethereum-native composability. As an ERC-20 token, bNVDA integrates with the deepest and most mature DeFi ecosystem in crypto. Practical use cases include:
Collateralized lending: Deposit bNVDA on Aave or Compound to borrow stablecoins against your NVIDIA position. This enables leverage, liquidity access, or capital efficiency without selling your equity exposure. Typical loan-to-value ratios for volatile assets range from 50-70% with variable borrowing rates.
Liquidity provision: Provide bNVDA/USDC liquidity on Uniswap v3 concentrated liquidity pools. Earn swap fees from every trade. However, impermanent loss risk is significant for volatile assets — if NVIDIA's stock price moves substantially in either direction, your LP position will underperform simply holding bNVDA.
Portfolio construction: Combine bNVDA with other Backed Finance tokens (bTSLA, bGOOGL, bMSFT, bCSPX) to create diversified on-chain equity portfolios. Platforms like Enzyme Finance enable automated portfolio management and rebalancing using smart contracts.
The limitation is liquidity. With approximately $30,000 in total asset value and only 23 holders, bNVDA's on-chain liquidity is extremely thin. Any position larger than a few thousand dollars will face significant slippage. For most investors seeking tokenized NVIDIA exposure, NVDAx on Kraken offers dramatically better liquidity ($123M market cap) at the cost of Ethereum-native composability.
bNVDA exists within the broader real-world asset (RWA) tokenization movement tracked by RWA.xyz. The total RWA tokenization market exceeds $15 billion across treasuries, equities, real estate, and credit products. Backed Finance's contribution spans multiple asset classes — beyond bNVDA, the company issues tokenized versions of Tesla (bTSLA), Alphabet (bGOOGL), Microsoft (bMSFT), S&P 500 ETF (bCSPX), and government bond products. This diversified product suite positions Backed as a full-service tokenization platform rather than a single-asset issuer.
The Kraken acquisition in December 2025 represents a strategic validation of Backed's issuance framework. Kraken's $800 million in total funding, regulatory licenses across multiple jurisdictions, and relationship with institutional investors like Citadel Securities provide Backed Finance with financial stability and distribution capabilities that significantly de-risk the bNVDA issuer profile. For investors evaluating counterparty risk, the Kraken ownership structure is materially stronger than an independent startup issuer.