If you are familiar with stock tokens and are looking for the best platform to buy and trade stock tokens, here I’m going to tell you about Reflection - the best platform to buy and invest in stock tokens.

What is a stock token?
A stock token is a cryptocurrency that represents the share of stock in a publicly traded company or, as someone familiar with the stock market would say, a listed company.

Now, you could always buy shares of your favourite stocks directly from the exchange, but there are many advantages of buying and trading stock tokens on Reflection compared to regular stocks (which we will discuss below).

What is Reflection and how it works
Reflection is a crypto trading platform that allows you to buy and trade stock tokens. Here’s how stock token trading on Reflection works:

When looking to buy a token (share) of a particular stock, you can place the order on Reflection. The platform will immediately purchase shares in the underlying stock for the same value as your investment. This happens automatically every time a user places an order to buy a stock token.

The shares are kept in a brokerage account. This ensures that every stock token is represented by an actual share and its value will increase and decrease accordingly. When a user wants to sell or redeem their tokens, the platform will sell the associated stock and use the proceeds to buy back the token.

How to buy a stock token on Reflection
In order to buy stock tokens on Reflection, you need to have stablecoins, which you can purchase from any exchange for cash or crypto. Then, you can use your stablecoins to buy stock tokens.

Similarly, when a user sells their stock tokens, they receive stablecoins, which they can use to buy other crypto tokens or redeem for cash.

RUSD is the native stablecoin of Reflection and will be used, by default, for all purchase and sell transactions. That means users will receive RUSD when they sell their stablecoins. RUSD can be converted to other stablecoins, namely BUSD and USDC for free, and vice versa.

Things to know:

The price of a stock token will be based on the price of the associated stock

Stock tokens can be purchased or redeemed using only stablecoin and cannot be purchased for cash

The value of a stock token varies (goes up or down) as the price of the associated stock changes

The holder of a stock token does not have any rights of stock ownership, voting, etc.

Benefits of Reflection (Why use it)
Now, you must be wondering why you should buy stock tokens when you can buy stocks directly from an exchange. Well, there are many benefits of stock token trading on Reflection over conventional stock trading.

For one, you can send stock tokens to others, transfer them to your family, and when, which you cannot do with stocks. Also, you can buy fractional shares using tokens when looking to invest in an expensive stock.

There is the benefit of increased privacy in crypto trading over stock trading. Reflection allows anyone to buy stocks () of any listed company from anywhere in the world. No bank account is required to buy and trade stock tokens.

You can buy stocks of practically any company using cryptocurrency (stablecoins) with the facility of automated currency conversion. It offers advanced trading options like pairs trading, basket trading, short selling, and leveraged trading.

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