Step Finance Acquires Moose Capital

DeFi platform Step Finance has acquired early-stage startup Moose Capital, specializing in tokenizing traditional stocks to enable users to buy and sell shares of companies like Nvidia and Tesla directly on the Solana blockchain.

Step Finance serves as a portfolio management tool and analytics hub for Solana users. It also owns media company SolanaFloor and the Solana Allstars, a global events program active in over 50 cities.

In acquiring Moose Capital, which will be rebranded as Remora Markets, Step Finance has also onboarded the startup’s team and regulatory licenses to prepare for a Q1 2025 launch. George Harrap, co-founder of Step Finance, noted that Moose Capital holds licenses across various jurisdictions, including Canada and UAE, and is expanding to more locations for the Q1 launch. Remora Markets will cater to KYC-verified clients in non-U.S. and non-EU territories.

According to Harrap, “Tokenized stocks are an attractive investment for risk-averse traders seeking portfolio diversification and wishing to bypass traditional barriers like high fees and slow settlement times.” He emphasizes that no one else offers this service on Solana, suggesting a significant influx of traders due to faster, cheaper, and easier trades compared to other chains.

Entering the $14 Billion RWA Market

Tokenized stocks allow users to own fractional shares of real-world equities on the blockchain. However, they have faced challenges such as regulatory uncertainty, custody risks, and competition from traditional platforms like Robinhood.

Harrap recognizes the regulatory hurdles but believes political changes and rising demand for RWA tokenization, initiated by tokenized Treasuries platforms, are shifting perspectives. Step Finance aims to capture a significant share of the $14 billion real-world asset market, which includes private credit, U.S. Treasuries, and corporate bonds, presently dominated by Ethereum.

Excluding stablecoins, which recently surpassed $200 billion in assets, Ethereum holds a 76% market share of total RWA value, while Solana currently has just 3%. Onchain stocks account for only $12 million of the RWA market, with $6 million on Ethereum, $5.3 million on Gnosis, and $750,000 on Polygon.

Harrap stated, “Just as Solana leads in token issuance, DEX volume, and NFT volume, these same reasons will drive its success in RWAs.”

This acquisition marks Step Finance’s third since its inception in March 2021, aligning with its mission to enhance DeFi by introducing new liquidity and portfolio diversification to the Solana ecosystem. Harrap summarized, “This acquisition is a natural fit, unlocking licensed institutional activities for Step, including MSTR-style listings and launching ETFs.”